Topic: [Solved] Trade Percent Equity Issue
I just started a new strategy and realized that the trade size was not correct for the strategy properties. The trade size was set to 40% account equity.
The beginning equity was $3500.
Leverage is set to 1/20.
EUR/USD price = 1.33536
Trade size in USD should have been:
3500*20*.4 = $28,000
Converted to EUR trade size:
USD trade size * (1/EURUSD Price)
28000*(1/1.3353) = 20,969 EUR (or 20,000 rounded down to lots)
Actual trade size traded: 52000 EUR
which comes out to: 52000 * (EURUSD price) 1.3353 = $69,435 which is 100% equity traded at 1/20 leverage (3500*20=$70,000).
Any help on what might be wrong? (and yes I know the dangers of high stop/loss and low take profit, and high leverage :-). Everything you usually do not want in a strategy )
Here are screen shots from the trade and strategy.