DislikedWell to be honest, trading is difficult, I guess of it were easy everyone would be doing it, but the way to bringing your returns up and I know I have said this before, but here it goes again:
Create a trade plan using a method that is as solid as can be, follow only the rules of that game plan and dont make up the rules as you go.
By implenting the rules and keeping track of your trades you can look back on each trade and make a determination what went wrong, and 9 times out of 10 it will be because a person did not follow the rules of the...Ignored
- #9,722
- Dec 25, 2010 2:11pm Dec 25, 2010 2:11pm
- Joined Dec 2006 | Status: Trader | 3,852 Posts
Yes, I got it. On demo I am taking trades with risk reward also no less than 1.5% in pips obviously. targets are 1:1.5 to 1:2. so far it is going up. Now let's see where EJ goes, my profit target is around 10.8.00it will consitutute something 1.75:1 r;r.
- #9,723
- Dec 25, 2010 2:15pm Dec 25, 2010 2:15pm
- Joined Dec 2006 | Status: Trader | 3,852 Posts
I try to look for trades that will yield at least 1.5% not in dollars but in pips, if the S/R levels look like they will not allow that I will pass on the trade, even though it could manage a few pips. The reason is I want to train myself to take only those trades that are in my opinion not a waste of time or money....
Let's say we got a 50% win loss ratio and always a 1:1 R:R, then if I would close partials earlier, I would lose in the long-term.
I would add to the sentence, there is nothing wrong with closing a partial position, as long as your expectancy is still positive and doesn't turn the strategy into a loser!
cheers
- #9,726
- Dec 25, 2010 2:50pm Dec 25, 2010 2:50pm
- | Joined Feb 2009 | Status: Trader | 2,444 Posts
I completely agree with you, except for one point: "There is nothing wrong with closing a partial position to bank some profits."
Let's say we got a 50% win loss ratio and always a 1:1 R:R, then if I would close partials earlier, I would lose in the long-term.
I would add to the sentence, there is nothing wrong with closing a partial position, as long as your expectancy is still positive and doesn't turn the strategy into a loser!
cheers
I do not like partial profits.
October should have been 12% month but I played with partial closes and ended only 6%. I remember you cited somebody who told he is not taking partial losses and mathematically it has no sense.
- #9,729
- Dec 25, 2010 3:07pm Dec 25, 2010 3:07pm
- Joined Dec 2006 | Status: Trader | 3,852 Posts
Hi NM,
Here are my additional comments on how i am reading the market as of now. Lets see if our analysis / perspective come close.
I would welcome further dicussion how other see this as well.
- #9,730
- Dec 25, 2010 3:09pm Dec 25, 2010 3:09pm
- Joined Dec 2006 | Status: Trader | 3,852 Posts
Custos, you are so right. I agree. Isn't it better not to trade and not to lose waiting instead for some higher probabilities set ups like we can see now.
I am going to work on this. Staying flat is also a skill.
- #9,733
- Dec 26, 2010 3:04am Dec 26, 2010 3:04am
- Joined Dec 2006 | Status: Trader | 3,852 Posts
Hi. I'm totally new to trading but I've been trading on a practice account with $50,000.00. So far I've gained $704.23 on my practice account. Yes. Of course I've lost a bit at first, but slowly I began understanding Forex Trading. I also trade stocks and was familiar with the bid/ask prices as well as limit orders etc. And I'm loving it.
I've heard of Expert Advisors and would like to know how accurate they really are? I mean if it's no more than a robot (which is programed by a person) to figure out from charting what the currency pair might...
Anyways, expert advisors only work if they are programmed by a really professional trader. But, they will for sure not sell or hand you their work. So forget finding a good expert advisor. Expect to spend the next 4 years in pure education, meaning reading a lot about trading, statistics, psychology and a lot of screen time. There is a saying that around 10,000 hours of screen time will make you an expert. And even then it is not ensured that you are profitable. Forex is a fun game, but for most it is an expensive hobby, because most don't win at this game long-term.
As you may know 95% are losing at this game, probably 3% are winning slightly and 2% are so good at this game that they are winning big.
Same is with information on this forum or in the internet. 95% is complete bull shit and maybe 5% is worth something.
If you wanna bite through all this hard effort for the next years in expectation of still ending up at the 95% losers, then you are more than welcome to join this game
.Your small sample which brought you the $ 700 is very likely just luck. Try being profitable over the next 10,000 to 20,000 trades. If you can do that, then you are a good trader.
Forex seems like the road to riches, but like in any other business, you need to do an incredible amount of work to even become a break-even trader and even more work to become a profitable trader.
- #9,734
- Dec 26, 2010 10:28am Dec 26, 2010 10:28am
- | Joined Feb 2009 | Status: Trader | 2,444 Posts
TopGunWarren, I would like to add that while reading and learning is important practice is a more so.
Do not stay too much on Demos as it is not same thing as real money.
Open small account of say $100 with say Oanda which allows you to control your trades size so that you can trade $100 the same way you trade big funds and trade there. Find strategy that has an edge and stick to it while working on your trading psychology. Control your risk and do not move your stops. If you cannot make money with stops you cannot make money at all.
Learn money management and never risk too much on any trade.
Let profits run
Do not stay too much on Demos as it is not same thing as real money.
Open small account of say $100 with say Oanda which allows you to control your trades size so that you can trade $100 the same way you trade big funds and trade there. Find strategy that has an edge and stick to it while working on your trading psychology. Control your risk and do not move your stops. If you cannot make money with stops you cannot make money at all.
Learn money management and never risk too much on any trade.
Let profits run
- #9,737
- Dec 26, 2010 11:01am Dec 26, 2010 11:01am
yeah, just pay attention with that double bottom on the monthly
- #9,739
- Dec 26, 2010 3:36pm Dec 26, 2010 3:36pm
- | Joined Feb 2009 | Status: Trader | 2,444 Posts
User of this system must making stashs of cash..... i guess .... but it is sending chills through my spine ...just by looking at the clutter.
http://cdn.forexfactory.com/attachme...8&d=1265428734
way to go!
This looks like ultimate seizure making machine
- #9,740
- Dec 26, 2010 4:00pm Dec 26, 2010 4:00pm
This looks like ultimate seizure making machine
oh and BTW the first word that came to my mind whe i saw this chart was Yikes! it hurts.