After the market opened Sunday afternoon (I am in the Central Time Zone), I was glad to see my bot snap up and quickly close a gold trade. Then, it took on an additional trade. This is when I got that feeling in the pit of my stomach. Did I let “gold greed” get the best of me again?
During a call NURP had last week, they had some advice on gold settings when using Gold Digger. In my Gold Digger account, I am also running The Fed. When this setup takes place, the following recommendations are made:
- The less volatile Forex pairs can be at their regular recommended lot settings.
- On the more volatile pairs, it is recommended they be at half of the “normal” lot settings.
- Gold should be approximately 60% of the settings it would be at if it were in a solo account. (i.e. If the account size were $100,000, the conservative lot size would be 1.0. If Gold Digger runs with The Fed, the lot size should be closer to 0.6)
Because gold is heightenedly volatile, the NURP leadership recommended lowering the lot sizes to closer to 40% when operating the 2 bots together. So, when the second gold buy took place and rapidly went the wrong way, I started beating myself up. Why didn’t I listen? Yes, I am using a risky vehicle to generate predictable income. But, I must either stop checking on my bots or make the lot setting match my tolerance for the turbulence of the market.
