Journal of a working stiff

Modify Trade signal #4, #5

Congrats, we are about 110- pips up on trade signal #4 and about 40 pips up on trade signal #5. In both cases we had minimal risk. Reducing risk is more than just the 1%/2% rule. Your method must actively reduce risk. This game is about survival #1 and making money #2.

Move all stop losses to 1.2909

Current P/L: -.5%

I moved our stop losses to a more conservative #. If I kept it where it was, it would have been better.

I knew there was a chance of this happening, but I moved stops anyways. Why? Because in the long run its more about survival than making money. And in any case, if conditions are right, we can always enter again.

Ill computer loss later, but its minimal.

If anyone is curious, go to the minute chart at 2007.01.26 around 15:30 GMT

Notice two huge 1 M spikes going down? Seem a bit odd to you? Its no coincidence that this behavior usually surfaces around turning points. All the little traders get stopped out before a huge run. Again no guarantees, but this is just behavior that I have noticed. It's no coincidence.

We might re-enter if things look right

Trade signal #4 was entered long, risking 1%, at 1.2920 and stop originally at 1.2699.
This is a difference of 221 pips. Therefore each pip is .0045%. We lost 10 pips so that is
.045%

Trade signal #5 was entered long, risking 1%, at 1.2988 and stop originally at 1.2865.
This stop was hit, so we lost 1%

Current profit loss: .5% + .045% + 1% = 1.545%

In retrospect you could have said, "If I didn't move my stop I would still be in the trade...."

You can't think like that. Protection is the first rule. Ill be in the market again. So what if I didn't get in from the bottom. Profit is profit, 100 pips is 100 pips no matter where it is taken from...the very bottom or the middle of a move.

Trade signal #6 Buy EUR/USD

Entry: Stop limit price 1 pip + spread above 1/31/07 high of 1.3038
Stop Loss: 1.2979
Amount to risk: 1% (half position)

Current P/L: -1.545%

Modify Trade #6

Most likely this will be hit, but we can move our stop to 1.2999 reducing our risk

entry was 1% risk at 1.3038 with stop at 1.2979 which is a stop of 59 pips, meaning each pip is worth .017%.

We raised the stop to 1.2999 which was hit for a loss of 39 pips at .017% each, making for a loss here of .663% which we will add to our current negative total

enter long now (well sunday if you can), 1%, anything below 1.2970 is good with a stop 1 tick + spread below 1.2876


Trade signal #7 Buy EUR/USD

Entry: Market price at 1.2970 or less (we shall see sunday)
Stop Loss: 1.2876
Amount to risk: 1% (half position)

Current P/L: -2.208%

EURUSD

Unfortunately market conditions arent the best. take profit while we can. 1.3041

We will enter 1% if it breaks 1.3064 with a stop at 1.2878

our stop was 1.2876 and my entry was 1.2961

that's 85 pips, means .012% per pip.

at 1.3041, we made 80 pips so that is +.941%

that means we are currently at -1.267 %

just to reiterate. new trade potential

Trade signal #7 Buy EUR/USD

Entry: if it breaks 1.3064
Stop: 1.2878

ok, cancel trade signal #7. the trading climate is muddy with no real indication of where it could be heading. sit this one out until further notice

i wanted to keep this thread all EURUSD even though i trade lots of other vehicles...but im getting kinda bored since EURUSD is stagnant for now.

Trade #8
Enter immediately short on EURGBP (i have around .6696) 1% with stop at .6797

ok my first analysis i think was a better one. take a nibble. 1% on EURUSD going long with a stop at 1.2861

o yeah, the price is around 1.3065

sorry the stop loss is 1.2940

ok move the stop on the EURGBP trade to .6719, we are virtually at break even.

i expected resistance for the EURO at this level, we can expect a retrace...but how much i cannot tell. all i know is that it is not safe to add until 1.3025, so 1% at that level with a stop at 1.2937