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What helped you the most to be profitable?

  • #61
  • Sep 19, 2012 4:24am Sep 19, 2012 4:24am
Quoting MapleLeaf
Sorry to ask this, but are you serious?

You let the EA do the job for you and you are always profitable in the long run?...

I guess lots of people will send you PM's asking you about that, and you will answer with a price, right?...

Man.. come on.. Let's be honest, we are all trying to learn here, why always we finish with that kind of subliminal PROPAGANDA...

Just sayin..
Don't dismiss EA trading. It is all based on statistics. So, if you have STRICT rules and you have backtested a system over years or decades, and you are a competent programmer, why not create an EA to trade automatically for you?

Of course, it's not easy to create and test such a system. For starters, read this excellent post by topherhk88. You will realize that building a successful completely mechanical system is a tedious procedure.

So, assuming that you have several profitable systems, backtested over many years, with a historical (or Monte Carlo simulated) drawdown that you can accept, that those systems are mostly uncorrelated so that the probability of them stopping working at the same time is small, that they work or at least survive during all market conditions (trending/ranging, volatile/non-volatile) and that one system's weak period is another system's strong period, then why not make an EA out of those systems ?

You could even make it stop trading any sub-system that exceeds maximum historical drawdown, and re-start trading that system when it shows profits again.

Now, if you think that no system can show consistent profit over several years (and even decades), then you might want to do a little more backtesting.

ETA: I will acknowledge of course that the vast, vast majority of EAs for sale are total crap. People who have made solid, thoroughly backtested EAs with acceptable drawdowns, will not sell them. Certainly not for 199.90 or even 9999.90.
  • #62
  • Sep 19, 2012 5:13am Sep 19, 2012 5:13am
Quoting Davit
What turned you a better trader and profitable?Turning points?
For me the eye opener was the weekly break out system called First Strike. It taught me loads about money management and risk/reward ratios and staying in trades to the conclusion.
Gone to a better place
  • #63
  • Sep 19, 2012 5:54am Sep 19, 2012 5:54am
In terms of books, the one that influenced my attitude towards trading the most is: Hedge Fund Market Wizards

It's a brilliant books that tells you how some of the big players started...including some hilarious stories about their early mistakes. A must-read in my opinion.

In terms of general tips...

1) Learn when NOT to trade: This is THE most important rule in my opinion. You can have the best system, but if you are over-eager to trade (over-trading), then you'll slowly bleed away your profits. Sometimes doing nothing is the most profitable option.

2) Don't do what the herd of retail traders does. Learn how to figure out what the SMART MONEY does!

3) Never look at indicators in isolation.

4) Patience.

5) Consistency.

6) Signal providers and robots are crap. Not just because they mostly don't work in the medium to long run, but also because they make you lazy and you are more of an investor than a trader as you don't really understand WHY trades are taken.

7) Always ask yourself "why am I taking this trade?" before every single trade.

8) Keep a trading journal. This ISN'T optional, it's a MUST!

9) Be honest about failed trades and take notes explaining WHY the trade went against you.

10) Sig-sigma: There is always room for improvement when it comes to trading strategies. Continually try to improve your edge!

11) Don't use fixed TP and SL! Those levels should depend on actual price movements and NOT fixed levels. You want to let your winners run if the market suggests the move will continue, and cut your losers short no matter what. Base it on something variable rather than something fixed, otherwise it's hard to get the maximum out of your trades.
  • #64
  • Sep 19, 2012 8:18am Sep 19, 2012 8:18am
For me it got to the point where I asked myself WHY I was trading Forex, and very quickly I realized that it's important to treat it like a vehicle, so as a means to an end.

I started to look at it that Forex was the vehicle to my final destination/goal. But what's important is I am the driver so exactly like a real vehicle I need to stick to what I know works and stay focused and in control of the vehicle. The slightest hesitation or veer off course will result in catastrophe, in other words YOU MUST BE COMMITTED
  • #65
  • Sep 20, 2012 11:45am Sep 20, 2012 11:45am

  1. Ditch the books

  2. Ditch the online trading system sellers

  3. Ditch the signal services

  4. Try to ditch everything in your head that you think you have learned about trading

  5. And try not to listen to many of the people/gurus or fellow members on forums and blogs


The only way to learn, is through dedication and study of the charts and/or fundamentals if you go that route.

Reading books, trading other peoples systems, and just basically listening to the chitchat from forum and blog posters is just filling your head with their bad habits and way of thinking, which is not a good idea.

Try spending time at the charts and understanding the price structure and how the flow of the market is moving. Trial and error and lots of it as well as practice is really the only way forward, it will take time, tears and at times frustration.

  • #66
  • Sep 23, 2012 1:43pm Sep 23, 2012 1:43pm
I have been trading about 4 yrs. I have had many losses. This last year was my first year with a gain. I think forums like this have helped more than anything.
  • #67
  • Sep 23, 2012 3:58pm Sep 23, 2012 3:58pm
Sorry? EA? Are you kidding? Yes, you can make money off an EA, provided you developed it and sold it to the newbies out there but as a trader, you cannot count on an EA to deliver each time without fail - that's just lazy and stupid in the long run!
  • #68
  • Sep 24, 2012 5:47am Sep 24, 2012 5:47am
Quoting 200To100k

  1. Ditch the books

  2. Ditch the online trading system sellers

  3. Ditch the signal services

  4. Try to ditch everything in your head that you think you have learned about trading

  5. And try not to listen to many of the people/gurus or fellow members on forums and blogs


The only way to learn, is through dedication and study of the charts and/or fundamentals if you go that route.

Reading books, trading other peoples systems, and just basically listening to the chitchat...

thank u!
  • #69
  • Sep 25, 2012 12:38am Sep 25, 2012 12:38am
Don't throw good money after bad.
Quit now and get a real job.
  • #70
  • Sep 25, 2012 1:21am Sep 25, 2012 1:21am
You need to trade to know how to trade.

Trade the minimum lot size to learn 1st.

When your limit is up for the day or the week, dun stop trading. Maybe reduce the position size by half or trade the minimum lot size to be back in sync with the market.

Charts are just for reference. You need to feel the market to know what environment it is in & what you need to do @ key levels.

Lastly, ALWAYS MAKE SURE YOU TRADE IN A CAREFREE MENTAL STATE. So you can cut loss, take profit, re enter easily.
  • #71
  • Sep 25, 2012 2:12am Sep 25, 2012 2:12am
Experienced traders, automatic systems (EA) and honest brokers. That are three principals for me which helped me to gain financial independent.
  • #72
  • Sep 25, 2012 3:11am Sep 25, 2012 3:11am
Quoting micmic
Don't dismiss EA trading. It is all based on statistics. So, if you have STRICT rules and you have backtested a system over years or decades, and you are a competent programmer, why not create an EA to trade automatically for you?

Of course, it's not easy to create and test such a system. For starters, read this excellent post by topherhk88. You will realize that building a successful completely mechanical system is a tedious procedure.

So, assuming that you...
well....
if you were serious about automation, you wouldn't be developing for MT4 to begin with. most legit brokers offer an API hook-up, so it's not too difficult.
  • #73
  • Sep 25, 2012 3:44am Sep 25, 2012 3:44am
Quoting qwerty00
well....
if you were serious about automation, you wouldn't be developing for MT4 to begin with. most legit brokers offer an API hook-up, so it's not too difficult.
....but.....
where in his post does he mention MT4?

And anyway, here is a list of more than 200 MT4 br0kers. Are you saying that absolutely none of them are legit? How can you be sure?
  • #74
  • Sep 25, 2012 11:50am Sep 25, 2012 11:50am
Quoting forexchecker
Experienced traders, automatic systems (EA) and honest brokers. That are three principals for me which helped me to gain financial independent.
On the principles listed, agree with two but the one on EA - Nope!
  • #75
  • Sep 25, 2012 11:57am Sep 25, 2012 11:57am
Quoting Forexnuts
On the principles listed, agree with two but the one on EA - Nope!
EAs work, the big players use similar programs. The problem is, most EAs simply aren't flexible enough and people expect 1 EA to work for every market situation...they clearly don't.

I use an automatic stop loss EA based on Heiken Ashi candles, works like a charm. Having said that, transferring my entries to an EA would be mental...way way waaaay to many factors. It would be doable because it's not a discretionary system, but given the amount of variables it would be a major pain in the ass...
  • #76
  • Sep 25, 2012 1:53pm Sep 25, 2012 1:53pm
Quoting hanover
....but.....
where in his post does he mention MT4?

And anyway, here is a list of more than 200 MT4 br0kers. Are you saying that absolutely none of them are legit? How can you be sure?
EA is a term associated with Metatrader. You won't hear it on grey/black-box stuff in markets other than forex.

I never said all MT brokers are not legit. But yes...most of those on that list are garbage. I would not trust anything over 100k in a majority of those firms, as there is no protection.

Anyways, didn't mean to diverge on post topic. Apologize for that.
  • #77
  • Sep 26, 2012 5:39am Sep 26, 2012 5:39am
trading really small.
  • #78
  • Sep 26, 2012 10:57am Sep 26, 2012 10:57am
Quoting 4exNinja
EAs work, the big players use similar programs. The problem is, most EAs simply aren't flexible enough and people expect 1 EA to work for every market situation...they clearly don't.

I use an automatic stop loss EA based on Heiken Ashi candles, works like a charm. Having said that, transferring my entries to an EA would be mental...way way waaaay to many factors. It would be doable because it's not a discretionary system, but given the amount of variables it would be a major pain in the ass...
Well, yeah..maybe, just maybe but would like to check it out myself. Can you post the details on the EA and what's the cost and whether it works on all MT4 platforms? Would like to check it out on a micro account and yeah, do not trust any of the so called backtesting data..prefer to do it myself. Looking fwd to the info, thanks.
  • #79
  • Sep 26, 2012 2:02pm Sep 26, 2012 2:02pm
Quoting Forexnuts
Well, yeah..maybe, just maybe but would like to check it out myself. Can you post the details on the EA and what's the cost and whether it works on all MT4 platforms? Would like to check it out on a micro account and yeah, do not trust any of the so called backtesting data..prefer to do it myself. Looking fwd to the info, thanks.
It's a very simple EA that shifts the SL to the 5 EMA (shift 3) every hour...since I trade the hourly charts. Will look up what it's called when I get home, it was free.
  • #80
  • Sep 27, 2012 3:21pm Sep 27, 2012 3:21pm
Well I saw the light only this month, then I found free platform forex strategy builder. Then I constructed my system on indicators, for different timeframes they are different. For example in pic below I found daily strategy, you need to look at her once about three days. Also I made strategy for M1, it's also works... But you need to test strategy every month, look is that strategy works or not.
Attached Image
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