# Question about systems

**URL:** <https://forums.collective2.com/t/question-about-systems/4782>\
**Category:** C2\
**Created:** [March 31, 2009, 9:30pm UTC](https://forums.collective2.com/t/question-about-systems/4782 "2009-03-31T21:30:28Z")\
**Posts on this page:** 5\
**Page:** 1

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**Author:** ![RobertManny](https://avatars.discourse-cdn.com/v4/letter/r/87869e/32.png) [@RobertManny](https://forums.collective2.com/u/RobertManny)\
**Post date:** [March 31, 2009, 9:30pm UTC](https://forums.collective2.com/t/question-about-systems/4782/1 "2009-03-31T21:30:28Z")

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Are there any systems that consistanly trade or track 1 contract?  
  
I have seen some that start with 1 add 1 more add more and then add 22 … come on … pppl who the heck would do that?  
  
  
  
I want to see consistant profits only trading 1 lot. then once successful trading 1 … you can add after X amount of months when you have built up profits, Say trading 2 contracts when you hit X amount of capital goal. So its like your taking your profits and adding another contract.  
  
Which is doubling your gains or losses. Also, you / the bot would trade this contract and not add but at one specific time.  
  
  
  
Say you run the account with $5K trade 1 contract and when you get up to X depeding on the system your goal with drawdown would have to be X … it could be $5K before you add another contract or 2.5K …  
  
So now you have say 10K and are trading 2 contracts … ect … then it gets better becuase after 2 you dont go to 4 you go to 3 so say you had to make $5 before and 2x your account well now you only have to make 1.5x and it should get easier over time. Also, when losses occur say when you up your contracts to 2 and you fall below the 10K … say you lose $1000 the same day you trade 2 contracts … the next day you would have to go back to trading 1 contract until the 10K account goal is reached.  
  
  
  
Do any systems have a money management plan like this?  
  
If not how would you go about doing it.  
  
I have had some programming backround about 10yrs ago in college but am not a programmer but an active trader with many ideas that I would like to see put into a bot …  
  
  
  
I have no idea how these things work but would like to discuss, any time any way possible. This is the most interesting thing, I know that there are successful programs out there its just a matter of finding them.

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**Author:** ![KD](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/kd/32/545_2.png) [@KD](https://forums.collective2.com/u/KD)\
**Post date:** [March 31, 2009, 11:07pm UTC](https://forums.collective2.com/t/question-about-systems/4782/2 "2009-03-31T23:07:54Z")

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My S&P system trades 1 contract consistently. But, you’d need much more than $5K to start with to trade it.

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**Author:** ![RobertManny](https://avatars.discourse-cdn.com/v4/letter/r/87869e/32.png) [@RobertManny](https://forums.collective2.com/u/RobertManny)\
**Post date:** [April 2, 2009, 12:06am UTC](https://forums.collective2.com/t/question-about-systems/4782/3 "2009-04-02T00:06:37Z")

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How much do you need then?

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**Author:** ![00](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/00/32/1487_2.png) [@00](https://forums.collective2.com/u/00)\
**Post date:** [April 2, 2009, 3:07am UTC](https://forums.collective2.com/t/question-about-systems/4782/4 "2009-04-02T03:07:47Z")

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Robert,  
  
  
  
Some systems may increase the number of contracts if risk/reward is appropriate.If a system has a max risk of 2% for a trade then given the level that the stop is set this may allow multiple contracts.

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**Author:** ![KD](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/kd/32/545_2.png) [@KD](https://forums.collective2.com/u/KD)\
**Post date:** [April 2, 2009, 8:23am UTC](https://forums.collective2.com/t/question-about-systems/4782/5 "2009-04-02T08:23:43Z")

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Robert -  
  
  
  
Due to CFTC and NFA rules, I (and other vendors) cannot state exactly what starting capital a particular individual needs (if someone does tell you exactly how much to start with, and gives you specific recommendations for your situation, that unregistered person is breaking the law). Look at the max drawdown, and the annual return, in relation to starting capital. Double the start capital, and you roughly halve the drawdown and the annual return (depending on when drawdown occurred).  
  
  
  
The biggest thing for a new investor to worry about is “risk of ruin.” Forget about dollar signs of all the money you’ll make with ANY system, and instead focus on the chances of ruin. What are the chances of being wiped out, where you do not have enough to trade with? That is the most critical number for small accounts. I’ll post an example later today on the **Gen 2 - MIni S&P Only** forum.  
  
  
  
Happy Trading!  
  
  
  
Kevin
