Profit taking | Forex Factory

Options

Permalinks
Print Thread

Similar Threads

Profit From Profit-Taking —Scalping the Session Close 21 replies

Profit taking in a trend 2 replies

Profit taking without losing to the spread again 2 replies

Friday Profit-Taking Action 1 reply

Fibonacci Extentions For Profit Taking Targets In FX 10 replies

Attachments: Profit taking
Exit Attachments

Profit taking

  • #1
  • First Post: Nov 4, 2018 5:48pm Nov 4, 2018 5:48pm
Hey there,

there's heaps of posts on trading styles etc but I want to work on my profit taking and I'm keen to see pictures of others trades showing TP, SL, and a short speech on why.

I'll start with my trades today, I opened 4 shorts UJ with bearish move away from flat 50 sma 5min chart, not much to go off I know but I'm going through a bit of a TA is a fallacy phase, and money management is everything. My motto is to max profit whilst minimising risk which as we all know is easier said than done.

I already TP 2 of 4 trades at 113.182 TP of $55 on the 2 trades (each trade 1 lot), now risking $3 on remaining 2, 1 with TP as pic. other open at this stage. I will close last trade depending on PA, trader discretion. I tend to TP too early which throws my RR out. Ideally of my 4 trades I'll try TP 50points 1st trade (I'll use points due to the fact I trade yen as well as EU), 2 trades 100-300 points, and try go for gold of 500 points with last, but I will adjust due to PA, I watch my trades (possibly too closely at times and TP too early). I'll set TP before S/R, or at SMA ( 50/100) or even if it's the end of the hour and I'm getting jumpy.

I have TP 2 trades already as I said and they were only 40point profit at the SMA100 on 5 min chart. That's not inline with above but I've been trading .5 lot recently and today I traded 1 lot/trade so wanted to decrease risk earlier. Yes that throws my RR out I know.

anyway show me your trades !!!
Attached Image (click to enlarge)
Click to Enlarge Name: 1b1.png Size: 80 KB
  • #2
  • Nov 4, 2018 6:23pm Nov 4, 2018 6:23pm
I took money management down a different path and it has saved trades from loss more than I have seen price get away from me. I don't care for runners or maximising profit because it increases market exposure. I get better results focusing on a more dynamic money management that's far more complex than rigid stops or trailing stops. If I were to share the biggest secret to my success its adding time to money management. I'm not talking about closing after <N> minutes although I do have a rule that applies this after news with other factors. What I am talking about is time price sits at levels. The premise is if there is interest in moving price then having it sit somewhere for a time does not conform to that profile. Other factors also come into factoring targets like time of day in respect to the upcoming session, and of course news.

I can't share any charts because I don't really use them and each trade is managed differently to other trades. It's complex but hell it sure has made the world of difference to my trading.
  • #3
  • Nov 4, 2018 6:23pm Nov 4, 2018 6:23pm
While trend trading has it's merits, sometimes just setting fixed SL and TP targets can be better.
Now this spreadsheet is of the YM, NQ, and CL, the reasoning still stands..... take small bites with limited risk and build your returns by increasing position size as your account grows...... This is an example of proper risk management.
Attached Image (click to enlarge)
Click to Enlarge Name: Screen Shot 2018-11-03 at 8.55.38 AM.png Size: 201 KB
  • #4
  • Nov 4, 2018 6:27pm Nov 4, 2018 6:27pm
Here are todays trades and now I am done for the day.
Attached Image(s) (click to enlarge)
Click to Enlarge Name: Screen Shot 2018-11-04 at 4.02.44 PM.png Size: 157 KB
Click to Enlarge Name: Screen Shot 2018-11-04 at 4.03.05 PM.png Size: 31 KB
Click to Enlarge Name: Screen Shot 2018-11-04 at 4.29.58 PM.png Size: 167 KB
  • #5
  • Nov 4, 2018 6:45pm Nov 4, 2018 6:45pm
Everyone has to find their own unique style that works, cheers for the replies
  • #6
  • Nov 4, 2018 6:48pm Nov 4, 2018 6:48pm
So far this month.
Attached Image (click to enlarge)
Click to Enlarge Name: Screen Shot 2018-11-04 at 4.47.59 PM.png Size: 42 KB
  • #7
  • Edited 7:02pm Nov 4, 2018 6:51pm | Edited 7:02pm
Quoting hellsbells
Everyone has to find their own unique style that works, cheers for the replies
No truer words spoken.......
I hope you can find a method that will work successfully for you for the long term.
I quit FX several years ago and went over to futures.... made all the difference ..

You did ask for examples by the way...
  • #8
  • Edited 7:38am Nov 5, 2018 4:58am | Edited 7:38am
Quoting hellsbells
Hey there, there's heaps of posts on trading styles etc but I want to work on my profit taking and I'm keen to see pictures of others trades showing TP, SL, and a short speech on why. I'll start with my trades today, I opened 4 shorts UJ with bearish move away from flat 50 sma 5min chart, not much to go off I know but I'm going through a bit of a TA is a fallacy phase, and money management is everything. My motto is to max profit whilst minimising risk which as we all know is easier said than done. I already TP 2 of 4 trades at 113.182 TP of $55...

Exit strategy is much more difficult than entry because it is more subjective than entry and you can't sit waiting comfortably on the sidelines as you can with entry. Once you're in a trade you are making or losing money right now and at some point you have to get out.

For any trade I like to have a stop beyond obvious resistance, a place where, if reached, the trade is likely wrong; and the initial target to be at least 1:1 R:R and not hampered by obvious resistance in the way to getting there.
This way I like to think I have trades with protected stops and easily achievable targets that pay a sufficient reward.

I do not use partial entries or exits (too complicated for me and the maths do not suggest any real net benefit) and I don't generally move the stop until close to the initial target where, if I'm feeling good about the move, I might move stop to breakeven and play for a further leg for extra profit. In that case I'd get out on next expansion move or stalling.

Anyhow, seeing you asked, an example for you from a trade on EUR/USD 1min chart I took earlier this morning:

Attached Image (click to enlarge)
Click to Enlarge Name: EUR_USD_20181105_10.47.png Size: 17 KB


I had been fancying a short here all morning (why not important to this analysis, just accept my strange thinking!) so when the market tested prior tops around 95 then suddenly lurched downwards that was my trigger to be short at 91. I liked this trade because, apart from being a short as I had been looking for, the stop could be placed at 97 above prior highs and just 6pts away. This meant a minimum 6pt target was well above prior lows around 80 with nothing to stop it getting there if I was right.

Worked out nicely, let market snap down to test 80 round number and prior support, taking profits before it hit resistance (from which it might bounce sharply) for 9 points net, a pleasant 1.5 : 1 R:R. I wish they were all that good but, sadly, not!
  • #9
  • Nov 5, 2018 1:44pm Nov 5, 2018 1:44pm
Quoting Oldtraderman
{quote} Exit strategy is much more difficult than entry because it is more subjective than entry and you can't sit waiting comfortably on the sidelines as you can with entry. Once you're in a trade you are making or losing money right now and at some point you have to get out. For any trade I like to have a stop beyond obvious resistance, a place where, if reached, the trade is likely wrong; and the initial target to be at least 1:1 R:R and not hampered by obvious resistance in the way to getting there. This way I like to think I have trades with...
Excellent long answer, thanks so much i will review it better when i wake. I started this post because redardless of how you enter a trade, managing it is a massive challenge! So thank you. I tend to swamp my trades by having them BE, lots to think on
Cheers h
  • #10
  • Nov 6, 2018 9:05pm Nov 6, 2018 9:05pm
ok so I entered a short today as UJ had solid bearish hour candle. Fortunately my TP was hit all of about 2 min after this screen shot and I now know it was lucky, and fortunately I stayed out after. Anyone trading today want to share some hits/misses? Any crzy scalpers out there having a ball?
Attached Image (click to enlarge)
Click to Enlarge Name: ert.png Size: 74 KB
  • #11
  • Edited 1:21am Apr 18, 2019 12:52am | Edited 1:21am
Ok so I placed 5 trades this am all around 112.03. My trigger to enter was H1 tweezer top with gap down.

I don't tend to pyramid in, I tend to all in which means no late entries, but also if I'm wrong then I concede I have probably entered 2 trades 2 many for my risk. Anyway I don't really want to discuss that, I'm more curious what people would do now. I have TP 3 trades of 5 already, and have remaining 2 at BE. I hate DD with a passion so I tend to concentrate more on protecting my trades and getting a great entry with a tight SL . Historically I close trades too quick, and due to the fact I hate DD I can lose trades with a too tight SL . It's a work in progress. I think each trading day is fluid. Anyway I'm looking to maximise profit of winning trades.

I TP first 2 trades at touch of H1 100SMA. ( yes I do like SMAs even though some people hate them). That was 2 profits of 85 points, I normally like to TP min 30points for first TP, depending on PA. Each TP decreases my exposure.

Would you tighten SL to trailing SL? Do you enter with multiple trades? Anything for discussion..

I do take time of day and various markets (Asian/ London..etc) into consideration. Normally I find on average an Asian move can retrace before London so I tend to close trades before London opens, atm my trades today have lasted.

I have next TP at 111.680 which is just above daily pivot/ just above 38deg fib/ 50 SMA as per pic which is now very crowded. I don't normally have such a full chart but I've left them all on the one pic so correlation can be seen.

Please no rude remarks, but if something pertinent or helpful and respectful comes to mind please share.

Theres red US news in 6 hours


NB Just TP 4/5 at 11.848 which puts me in profit for the week with 1 trade live at BE ( at 112.2, I'm hoping no break back above 112) and TP set at 111.680

H
Attached Image(s) (click to enlarge)
Click to Enlarge Name: 184.png Size: 66 KB
Click to Enlarge Name: 1842.png Size: 85 KB
Click to Enlarge Name: 1843.png Size: 90 KB
  • #12
  • Apr 18, 2019 1:23am Apr 18, 2019 1:23am
5 min chart showing levels of where I have TP 4/5 trades, also showing SL of remaining trade
Attached Image (click to enlarge)
Click to Enlarge Name: 1845.png Size: 69 KB
  • #13
  • Apr 19, 2019 1:57am Apr 19, 2019 1:57am
Got stopped out on trade 5/5. Green line where I entered sells, yellow lines with yellow crosses where I TP. I'm undecided about best option for potential "golden pip" trade, as leaving 1 trade BE means for that trade at least I accepted BE versus my best profit trade in this batch of $100. I definitely like having targets set at S/R to lock in min profit and reduce exposure. Possibly 1 trade with a looser SL, to absorb the 100% retracement scenario which is common for London
Attached Image (click to enlarge)
Click to Enlarge Name: 194.png Size: 82 KB
  • #14
  • Apr 19, 2019 2:13am Apr 19, 2019 2:13am
The exists will just evolve as your strategy evolves. For me, optimizing the exits were at one point the most important and now, entries are the most important. Just be open to change and embrace it. The beauty in trading is that there is no right or wrong way to do something.
  • #15
  • Apr 19, 2019 5:08am Apr 19, 2019 5:08am
Quoting NPSystems
The exists will just evolve as your strategy evolves. For me, optimizing the exits were at one point the most important and now, entries are the most important. Just be open to change and embrace it. The beauty in trading is that there is no right or wrong way to do something.
Great answer thanks, and I do agree with you. I am curious how others approach the issue.

Ie you have a system, your trigger is met.
Do you place 1 or multiple trades?
Do you have a minimum TP? Do you have a medium and maximum TP?
Do you have a trailing SL ?
Is it all flexible??
I like to have multiple trades , a minimum TP, a moderate TP , and a dream TP...
What do you like ??
I would add that if PA is unacceptable all bets are off and I will abort. This decision might be in response to candle pattern I dont like, or unexpected high volume, or getting too close to news.....
It's a magical mystery tour
H
  • #16
  • Last Post: Apr 19, 2019 8:59am Apr 19, 2019 8:59am
Quoting hellsbells
{quote} Great answer thanks, and I do agree with you. I am curious how others approach the issue. Ie you have a system, your trigger is met. Do you place 1 or multiple trades? Do you have a minimum TP? Do you have a medium and maximum TP? Do you have a trailing SL ? Is it all flexible?? I like to have multiple trades , a minimum TP, a moderate TP , and a dream TP... What do you like ?? I would add that if PA is unacceptable all bets are off and I will abort. This decision might be in response to candle pattern I dont like, or unexpected high volume,...
I've never found a trailing stop to be helpful but I'm sure it's a useful method of exiting for someone's strategy. As you said, it is a magical mystery tour.
0 traders viewing now