Bemac's'imizing Profit

'OK, I saw a PB "With Some Room" so I took the leap and got in this Market.
Now I'm In. When/Where do I get Out?
I really need a plan that helps me get away from 'Taking 20P Profit from a 200P move.'
How do I get to ride those 1500-2000 pip moves?
The Stress of Re-Entering the Same Move, After I have already taken {minimal} Profit from a Part of that Move is killing me.
I just want to Learn how to Ride my Winners while making sure I Don't Ride My Losses. {That's what we're supposed to do, right?}
Is that too much to ask?'

No. But it's a Lot to Learn. And it Starts with Entries.

PB Entries.
PinBars can appear anywhere but are more interesting when they fall on steep embankments. {that's the scary entry bit. Close to pulling the trigger. 1Hr Chart TF Heading Up but posted a Bear PinBar, J16's PB research suggests Down & therefore, I am Now Trading the [min] 4Hr. TF. }
A PB on a Steep Incline will {from me} garner more attention than a PB contained in a horizontal channel. How wide is the Channel? Is it Wide enough to get some nice Pips?
{I need to see the channel tested before I evaluate the info the PB is offering.}
Let's Talk about exits...

Would be nice hearing more from you on this subject Bemac.

cheers

fxp

Perfect example was GBPAUD today. We had a nice descending upper TL with 4 perfect touches. Price broke that TL 2 days ago and was howering around previous weeks high untill today. Today it pulled back to the broken TL and printed a 1hr pinbar on the retest, and if you noticed there was a horizontal s&r level ar around 2.1500. Perfect confluence of a technically significant broken TL and horizontal s&r level. So anybody that took this pinbar today gained about 600 pips. Thats what i call a really lovely pinbar

Bemac,

There is a way to ride these moves that I've been using with some good success but it requires explanation. I call it "reverse imbedded trends".

Most longer term traders look for a trend on a larger chart and then try to find an entry on a shorter time frame using the "theory" of embedded trends to put them into a larger trend. Others call it "buying dips, or selling rallies". All of these ideas fail to take into account the following question..."when does a reversal occur?" or "when is does a pull back actually become a reversal?"

I too was frustrated with taking short term profits on a long run and then sitting and watching...waiting...watching...waiting for a reversal...and then wondering if it was truly a reversal or just a pull back (retracement).

So I reversed my strategy. I enter normally on a short term (intraday) chart. For me the 15 min chart works very well. Most traders use some form of trend indicator for their entries. Personally I use a Schaff Trend Cycles indicator but I don't think it really matters.

So I enter a trade on a 15 min chart with 3 minis and set profit targets of 40 pips, and 80 pips. The last mini I leave with no profit target. Then when the first profit target is hit I take my short term profit and move the stop up to break even.

So then I watch the 15 min chart for an exit, and the 1 hr chart trend indicator for any sign that the trend ON THAT CHART is moving the same direction. If it is, then I monitor for an exit on the 1 hr chart and ignor the 15 min chart.

Now I take profit on the second target of 80 pips (assuming its been hit) and monitor the 1 hr chart for an exit and the 4 hr chart trend indicator for any sign that the trend is continuing in my favor. All the while the break even stop is in place thereby reducing risk to zero.

This can be done all the way out to the weekly chart if you so chose. The idea is that you take profit when it becomes available and leave the rest at zero risk until the market turns against you or you make your 2,000 pips (0r what ever you desire) goal.

So then all that's left is for you to manage the trade with stops locking in additional pips along the way. I manage stops on what ever time frame the trade happens to be running using an ATR stop "hung" of the most recent extreme price. This allows the stop to be tight on the short time frames but then gradually increases as the trade moves out to progressively larger time frames.

If the trade moves your way...GREAT! You will eventually have an entry on a daily or weekly chart that looked like you were psychic. Else if the trade moves against you early, you've made pips on a short time frame and your risk is relatively low because your original entry/stop loss was on a 15 minute chart.

This method of trade management works equally well in an oscillating as well as a trending market because you lock in profit early by hitting profit targets early, and moving you stop up to zero risk. Then if the market trends, you really gain big pips with OUT any further risk. If it doesn't trend you stop out at break even with pips in your pocket. Either way you make pips.

Its actually a very simple way of managing a trade and once you get past the hourly chart you only have to check the trade and adjust the stops once or twice a day. The really cool thing is if you continue to look for trade entries on a shorter time frame during the following days/weeks, you can find another entry that moves on up the same way, and "scale into" a position like the experts do. All without risking more than your preset risk criteria. (personally I use 1% per trade).

If you'd like more specifics hit me up on a PM or e-mail me at [email protected]. We can talk about your specific trading method and how it would work using a similar plan.

I've been impatiently waiting for this discussion to resume. Seems it was destined to reveal some worthwhile information...especially had the senior members joind in...

DS

Sorry guys; have something a little more important than Trading {never mind advising} on my mind these recent weeks.
Please bare with me. I'll be back. Meanwhile, feel free to discuss amongst yourselves.

Hope everything is ok Bemac. Look forward to your return.