The Wrong Kind Of Bookends

Today's Results:
Horse Racing... 3.1% profit. New bank... £77.68

It's always annoying to end the day, like yesterday, with a crap trade that suddenly takes a big chunk out of your hard earned profit, but to begin the day in the same manner is not good.

I settled down with the intention of repeating what I did yesterday, i.e. switch between win and place markets for each race. Although I recognise there may be issues with switching trading styles every 5 mins, it's important that I start becoming more involved in the win market as, ultimately, this is were I'll have to trade once my bank grows. I still don't want to abandon the place market as yet as this is where I've been making my money up until now.

So, off I went to the win market for the 1:50 and promptly lost £2.39 - 3.2% of my bank. Not a good start and not the best way to get in the correct frame of mind. I stopped to collect my thoughts and waited for the next race.

It's always useful I find to take a step back after a loss and not go jumping in again right away. Fortunately, there was a 20 min gap until next race which allowed my to compose myself. And it worked. I immediately got that money back and some more besides. This allowed me to settle down and get into a bit of a groove.

My plan to alternate between markets didn't materialise though as virtually every place market was severely devoid of cash. I only got involved in one place market today. So I spent the day playing in the win markets where I was doing quite well, until the 3:50 where I halved the profit I'd built up during the day. I was so disgusted with myself I decided to quite for the day, despite having my afternoon bookended by two losing trades.

Before I got involved in the 3:50 I kept telling myself to quit and be happy with a nice 7.0% profit, yet the inner demon in me kept urging me on. Obviously an emotional flaw that I will need to overcome.

So a £2.32 increase to the bank, but that represents a 3.1% profit and let's face it; that's a hell of a lot better than I'll get in a bank.

Tomorrow will be a day off for me as I'll be spending the day with a client though I might get back in time for the evening races, if there is any.

2 comments:

Graeme Dand said...

Hi Alistair.

It's good to see your bank continue to increase. I wouldn't worry too much about the size of the increases at the moment as it is the principle that matters at the moment. Whether you trade with £50 or £500 makes no difference.

I think the key thing is to boost your bank when you feel comfortable. It may get to the stage when you have a £100 bank you have managed to accumulate but you feel quite confident with your trading. I'd be inclined to throw in another £100 and start using larger stakes. Obviously, you can then take back your £100 plus your initial investment when you feel you have a large enough trading bank.

I think the danger with using a low bank all the time is that you start to lose your discipline as it doesn't mean too much. I didn't have the discipline to sit and make £5 a day when I knew I was able to use higher stakes but you'll know when that time comes.

Graeme

Alistair said...

Hi Graeme,

I made the decision a while back not to put any more money in my Betfair account after a very poor year gambling. I'm a small time punter, so I didn't lose more than I could afford last year, but I hadn't been in profit at anytime for the past 18 months.

In addition to the loses, I spent money unwisely on betting software and was unable to recoup the cash.

When I decided to give trading one more go, I put £250 in my account, but with the intention of using small stake sizes. Early on, when I inadvertently pressed the wrong button in BinarySoft BDI and suddenly found myself with a liability of nearly £130 I immediately removed £175 from my account as a form of protection.

With the £75 that was left I wasted some on stupid bets as I tried to get the gambler mentality out of my system. Since then I've been allocating a £10 bank to each sport I get involved in with the intention of increasing it as I learn.

This is going well so far, as can be seen from my horse bank. I trade with most of each bank so my stakes are going up as they increase. I'll do a posting later explaining my stake & bank management technique another time.

So, at the moment, I do not feel the need to increase my bank with another deposit. Actually, I'm enjoying the challenge of building it up from small beginnings. Yes of course I'm having the odd losing day, but the winning days are far outweighing those and so the bank is continuing to increase. If it carries on at the same rate, I'll have a substantially bigger bank in a couple of months.

The initial aim though is to consistently make the minimum wage. Then kick on from there.

Alistair