DislikedI have gone out many times with only 1 pip gain because I did not want the trade to go negative on me. I have been up 15 pips and then got out at 5. I have been trading H1 charts, but I want to look at the 5 min. I have enjoyed looking at the posts on this thread. I will try the 5 min tomorrow morning. I trade the firs 3 or 4 hours of the London session.Ignored
Dcb:
My spread is 2 on the majors so I'm automatically -2 on the entry. The majority of the trades do tick against me for the simple fact of the matter that you don't know if the price will keep moving in the opposite direction in the war zone. So, even on the 5min you have to give things room to breathe. Yesterday the EURJPY went 10 pips against me but I was still within my risk % limit before price resumed with the trend. Today's trade about 4 against me before turning. There's no way to know the exact turning point so you have to expect a negative move and be ready to exit if it keeps going negative. It's all a matter of trusting the current price action and checking the calendar for news.
Start with a micro or mini lot so the loss is minimal but keep it within the same pip stop loss (not % risk) as you were if you were trading a standard lot. Build your confidence up by letting the price go against you (like it will the majority of the time) and then see it resume the trend. I look for the best entry with the ADX as a filter and jut go with that.
Unless: Is there anyone that is entering at the close of a bar for confirmation for entry? Again, that's difficult because waiting on a close of a bar might be the entire trade...