Hi,
Instead of hammering the signal services let me hammer the management of your example trade. If you exit 50% at 50 pips. You actually bank 25 pips measured in the size of your initial entry. at 4) you close 25% of 100 pips, so you bank another 25 pips. At 5) you close 25% of 150 pips that is 35.7 pips.
So you closed the trade for 25+25+37.5=87.5 pips. If the risk was 50-100 pips the RR is between 0.875 and 1.75. Now Seneca pilot would have let the trade alone, hit or miss. His risk would have been exactly the same as yours, 50-100 pips. But his RR is between 1.5 and 3. The signal is the same so he has exactly the same probability of winning as you have. But he makes almost twice more pips when he wins! This is the huge difference making or breaking the system (and the trader).
Now I cannot say signal services are useless. You can find free ones on the net (no need to pay IMO). I found a good use of them. Instead of being fed the bottle, do your own analysis then compare with theirs. At the beginning you are lost. After you agree with them. And a day comes you don't agree anymore. But this day you have your own opinion and you can explain why you disagree with them. Also note that both you and them can make money out of these two analysis! That's the beauty of it :-)
Best
Instead of hammering the signal services let me hammer the management of your example trade. If you exit 50% at 50 pips. You actually bank 25 pips measured in the size of your initial entry. at 4) you close 25% of 100 pips, so you bank another 25 pips. At 5) you close 25% of 150 pips that is 35.7 pips.
So you closed the trade for 25+25+37.5=87.5 pips. If the risk was 50-100 pips the RR is between 0.875 and 1.75. Now Seneca pilot would have let the trade alone, hit or miss. His risk would have been exactly the same as yours, 50-100 pips. But his RR is between 1.5 and 3. The signal is the same so he has exactly the same probability of winning as you have. But he makes almost twice more pips when he wins! This is the huge difference making or breaking the system (and the trader).
Now I cannot say signal services are useless. You can find free ones on the net (no need to pay IMO). I found a good use of them. Instead of being fed the bottle, do your own analysis then compare with theirs. At the beginning you are lost. After you agree with them. And a day comes you don't agree anymore. But this day you have your own opinion and you can explain why you disagree with them. Also note that both you and them can make money out of these two analysis! That's the beauty of it :-)
Best
No greed. No fear. Just maths.
