Financial Commitment
                        Your  capital  must  be  enough  to   sustain   yourpositions. Most traders start in  the  $25,000  --  $50,000  range  if  theyexpect to make a living in a reasonable period of time.  Anything  less  andyou are just probing the business to see how you do, which is  an  excellentway to do it provided there is no pressing  need  financially  to  have  thebusiness return enough of a profit margin for you to live off the business.                        The  financial  commitment  is  not  the  amount  ofcapital; it is the amount you  can  afford  to  lose.  You  are  willing  tocontinue trading after a stretch of  losses  because  you  believe  in  yourtrading plan and have allocated X amount to make the business profitable.                       Lets look at a simple example that you might  use  asa new trader. You have decided to start with $50,000  in  capital  and  willmake a financial commitment of $15,000 or 30%  of  the  initial  capital  toturn this business profitable. If you lose the $15,000 you walk, or  if  youdecide at anytime that you are  not  suited  psychologically  to  day  tradeclose down the business and find something else to do.