Hi Guys,
It seems there is alot of emphasis on stoplosses. Here is my take and a simple philosophy " You are what you are and you can always improve on what you are, but you cannot be or improve on what you are not".
We are all different traders from different spheres across the continent.
If you are a scalper you will most likely increase your lot size and most likely will have stops in place, because you face margin call if you dont. You better have a decent strategy in place with at least a 70% winning rate. Seeing that stop losses are small you will ensure that your trades are set at break even quickly in order not to have sipkes or stop hunts go against your trade. How often do we see that trades drop to to a higher high or lower low before smashing in the opposite direction?, your original trade direction?. I have seen this happen too many times in my trading endeavours. This is a hard call for newbie traders who will find that they are stopped out more often than not. Hard earned profits slowly taken away by stoplosses. My advice to all of you seasoned traders is to tell newbies to trade smaller and user bigger stoplosses to ensure that the winning rate stays above 60 to 70%.
If you dont take stoplosses it is vital that you trade small so that if you go into drawdown periods your margin % level stays above a certain level. I start closing out on losing trades when my margin % drops below 2500%. No stress and I can still take my dogs for a walk and look after our little 16 month adopted baby. Reversed roles, my wife runs our business and I look after our baby. No stress I even change diapers all day long
The flip side is that with trade diversification you will most likely find that you get it right on some currency pairs if you trade your edge which keeps your margins in check, anyway not to be discussed here as it is a EU only thread. The profits come in steady and no need for stress and emotional trading.
All these things you will learn along your trading journey and we are all different folks from different strokes..
I hope we can all continue to respect each other and each others systems, and it is important that each of us find our own mojo.
Take care and have a great weekend.
Cheers
It seems there is alot of emphasis on stoplosses. Here is my take and a simple philosophy " You are what you are and you can always improve on what you are, but you cannot be or improve on what you are not".
We are all different traders from different spheres across the continent.
If you are a scalper you will most likely increase your lot size and most likely will have stops in place, because you face margin call if you dont. You better have a decent strategy in place with at least a 70% winning rate. Seeing that stop losses are small you will ensure that your trades are set at break even quickly in order not to have sipkes or stop hunts go against your trade. How often do we see that trades drop to to a higher high or lower low before smashing in the opposite direction?, your original trade direction?. I have seen this happen too many times in my trading endeavours. This is a hard call for newbie traders who will find that they are stopped out more often than not. Hard earned profits slowly taken away by stoplosses. My advice to all of you seasoned traders is to tell newbies to trade smaller and user bigger stoplosses to ensure that the winning rate stays above 60 to 70%.
If you dont take stoplosses it is vital that you trade small so that if you go into drawdown periods your margin % level stays above a certain level. I start closing out on losing trades when my margin % drops below 2500%. No stress and I can still take my dogs for a walk and look after our little 16 month adopted baby. Reversed roles, my wife runs our business and I look after our baby. No stress I even change diapers all day long
The flip side is that with trade diversification you will most likely find that you get it right on some currency pairs if you trade your edge which keeps your margins in check, anyway not to be discussed here as it is a EU only thread. The profits come in steady and no need for stress and emotional trading.
All these things you will learn along your trading journey and we are all different folks from different strokes..
I hope we can all continue to respect each other and each others systems, and it is important that each of us find our own mojo.
Take care and have a great weekend.
Cheers
Trade to trade another day
