Which would you prefer: increasing lot size or TP size? | Forex Factory

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Which would you prefer: increasing lot size or TP size?

  • #1
  • First Post: Aug 21, 2013 11:43am Aug 21, 2013 11:43am
You want to make more in fx trading would you rather 1 increase you lot size say from 1 standard lot to 2 standard lots with your tp 20 pips away or would you rather increase your tp from 20 pips to 40 pips?

Personally for me i would rather increase lot size cos it seems very unlikely a pair even moves 20 pips in any direction hourly or in 4 hours let alone 40 pips.


I think it's better to just increase lot size cos you can make the money faster since your tp will be hit since it's 20 pips vs 40 pips which would take lord knows when.


Your thoughts guys?
  • #2
  • Aug 21, 2013 11:47am Aug 21, 2013 11:47am
Quoting forex_fairy
You want to make more in fx trading would you rather 1 increase you lot size say from 1 standard lot to 2 standard lots with your tp 20 pips away or would you rather increase your tp from 20 pips to 40 pips? Personally for me i would rather increase lot size cos it seems very unlikely a pair even moves 20 pips in any direction hourly or in 4 hours let alone 40 pips. I think it's better to just increase lot size cos you can make the money faster since your tp will be hit since it's 20 pips vs 40 pips which would take lord knows when. Your thoughts...
Both wont work if you do not have a proper risk management.


Thanks,
LO-Trader
  • #3
  • Aug 21, 2013 11:50am Aug 21, 2013 11:50am
Always decrease the lot size. You will be glad you did.
  • #4
  • Aug 21, 2013 11:57am Aug 21, 2013 11:57am
Quoting Mingary
Always decrease the lot size. You will be glad you did.

But u know it is hard enough to even bag say 30 pips in a single trade especially during august what choice does one have then? Unless you bag fewer pips and then you will kick yourself for not increasing lot size either mico mini or standard.
  • #5
  • Aug 21, 2013 12:02pm Aug 21, 2013 12:02pm
Quoting forex_fairy
{quote} But u know it is hard enough to even bag say 30 pips in a single trade especially during august what choice does one have then? Unless you bag fewer pips and then you will kick yourself for not increasing lot size either mico mini or standard.
Have a looks at JPY pairs, GBPAUD, EURAUD. They are really exoctic pairs. You can see bigger moves.

Thanks,
LO-Trader
  • #6
  • Aug 21, 2013 3:16pm Aug 21, 2013 3:16pm
Increase lot size & make as many pips as possible.. dont be taking profit at 20 or 40 if the market is offering you more. If the inefficiency you are trading is making you constant pips, then the bigger lot size will only net more gains. Consistency is key.
  • #7
  • Aug 21, 2013 4:55pm Aug 21, 2013 4:55pm
Quoting forex_fairy
You want to make more in fx trading would you rather 1 increase you lot size say from 1 standard lot to 2 standard lots with your tp 20 pips away or would you rather increase your tp from 20 pips to 40 pips? Personally for me i would rather increase lot size cos it seems very unlikely a pair even moves 20 pips in any direction hourly or in 4 hours let alone 40 pips. I think it's better to just increase lot size cos you can make the money faster since your tp will be hit since it's 20 pips vs 40 pips which would take lord knows when. Your thoughts...
this doesn't make sense - compare lot size with TP. you should increase your lot size only when your account grows so if it progressed - change the lot size accordingly. regarding TP why to ask the question like that - I don't know the method you use how can I advise you anything
The single most important factor is having control of your own life.
  • #8
  • Aug 22, 2013 12:55am Aug 22, 2013 12:55am
Quoting Mikkk01
{quote} this doesn't make sense - compare lot size with TP. you should increase your lot size only when your account grows so if it progressed - change the lot size accordingly. regarding TP why to ask the question like that - I don't know the method you use how can I advise you anything

well i have a fixed goal to net myself at least 20 pips daily which seems to be a pretty small number. Perhaps some ppl don't do that but you know i am sure we all wouldn't just TP our target 10 pips away we would use a bigger number wouldn't we?

I suppose some ppl just TP according to the resistance and support lvls but if it's too near like say only 5 pips away they wouldn't be just TP at a 5 pip target would they?
  • #9
  • Aug 22, 2013 1:46am Aug 22, 2013 1:46am
Increase lot size (1:1) as account grows. No SL, no TP
  • #10
  • Aug 22, 2013 4:22am Aug 22, 2013 4:22am
This shouldn't even be a question. By changing your lot size, your strategy and RR/WLR remain constant. By changing your TP "target", you're completely changing your system, and therefore your RR/WLR. Maybe you'll turn a winning strategy into a losing one.
  • #11
  • Aug 22, 2013 7:07am Aug 22, 2013 7:07am
Quoting forex_fairy
{quote} well i have a fixed goal to net myself at least 20 pips daily which seems to be a pretty small number. Perhaps some ppl don't do that but you know i am sure we all wouldn't just TP our target 10 pips away we would use a bigger number wouldn't we? I suppose some ppl just TP according to the resistance and support lvls but if it's too near like say only 5 pips away they wouldn't be just TP at a 5 pip target would they?
Hmm, even 'say': 5 pips to S/R? what TF are you trading? I really do not advise you to begin with m1 let alone tick chart. if you can't wait (not at all good) begin with m5 at least.
Regarding TP at S/R (it's the only way imo - you don't wanna get out in the middle of the move and price is not gonna stop in 'no man's land' or go to your 20 or 40 pips (whatever target you set) on the nose - at what specific level of S/R to get out it's another story) - well if you're a scalper and R/R ratio is ok why not 5 pips? that all depedns on the amount you risk. look: you can get 4 pips with 5 lots and your 20 with 1 lot and dollar amount is the same - the question is will the price go those 20 pips or even 4 pips without your SL being hit BUT it all doesn't make any sense if you just gamble without any insight of what you do (read without a clear Trading Plan and that seems to me you don't have one as you post threads like this but better ask than not either way)!
eurotrash that's the exat true
The single most important factor is having control of your own life.
  • #12
  • Aug 22, 2013 7:27am Aug 22, 2013 7:27am
Take profit is the one for sure. But for scapls I would like to increase the lot size and decrease the target
  • #13
  • Aug 22, 2013 7:34am Aug 22, 2013 7:34am
Mingary is most probably retired guy with no interest in money making but any ways in my opinion increase lot size and decrease targets and come out of market as soon as possible, there is never guarantee of future directions.
been there done that, Good Bye
  • #14
  • Aug 22, 2013 7:41am Aug 22, 2013 7:41am
Quoting WhiteHorse
Mingary is most probably retired guy with no interest in money making but any ways in my opinion increase lot size and decrease targets and come out of market as soon as possible, there is never guarantee of future directions.

Mingary is most probably retired guy : nope
with no interest in money making : nope
  • #15
  • Aug 22, 2013 8:29am Aug 22, 2013 8:29am
Quoting WhiteHorse
Mingary is most probably retired guy with no interest in money making but any ways in my opinion increase lot size and decrease targets and come out of market as soon as possible, there is never guarantee of future directions.
Why not to go to Las Vegas? The strategy is perfect for that lovely place! Furthermore drinks are free!!!
What we need in Forex is consistency not taking jackpot, you may take it several times but casino never lose so you'll get burnt either way
The single most important factor is having control of your own life.
  • #16
  • Aug 22, 2013 8:49am Aug 22, 2013 8:49am
Quoting eurotrash
This shouldn't even be a question. By changing your lot size, your strategy and RR/WLR remain constant. By changing your TP "target", you're completely changing your system, and therefore your RR/WLR. Maybe you'll turn a winning strategy into a losing one.
Exactly what I was going to say on this.
Just make sure you don't increase your lot size beyond your risk tolerance, i.e. do it only when your account grows enough.
  • #17
  • Aug 22, 2013 9:01am Aug 22, 2013 9:01am
Hmmm...

You want to increase profit, and at the same time potentialy decrease the risk as well...

Instead of going for 2 lots on a single pair, maybe using 1 standard lot on your usual pair, and the remaining to be placed on another instrument, be it another pair, or another financial asset...

That way, your initial profit won't suffer much (as this thinking would imply the first system was profitable already), and by trading other assets, your diversify your total risk.

That is one idea among many, but i was always told not to place all my eggs in the same basket
  • #18
  • Aug 22, 2013 9:11am Aug 22, 2013 9:11am
Quoting eurotrash
This shouldn't even be a question. By changing your lot size, your strategy and RR/WLR remain constant. By changing your TP "target", you're completely changing your system, and therefore your RR/WLR. Maybe you'll turn a winning strategy into a losing one.
Partially agree with this, more exactly with changing TP will change the system and you can turn a winning system to a loosing one.
With other I don't agree, because I have proved me too mathematically: every system has an optimum risk mathematically, based on win and loose ratio.

For example a 60% win and 40% lose system has a 20% optimum risk. it is not 1% or 2%. If you raise to above a level the risk per trade( don't have the soft at me now, ,lets say 95%, because easier to believe it) than the system will turn to a loosing one.

If you are under the optimum than increase the lost size to the optimum IF YOU CAN SUPPORT PSYCHICALLY .
- if you can't support that leverage than reduce and keep you psychical health.
I want to buy PATIENCE
  • #19
  • Aug 23, 2013 12:43pm Aug 23, 2013 12:43pm
Quoting Mikkk01
{quote} Hmm, even 'say': 5 pips to S/R? what TF are you trading? I really do not advise you to begin with m1 let alone tick chart. if you can't wait (not at all good) begin with m5 at least. Regarding TP at S/R (it's the only way imo - you don't wanna get out in the middle of the move and price is not gonna stop in 'no man's land' or go to your 20 or 40 pips (whatever target you set) on the nose - at what specific level of S/R to get out it's another story) -[color=#ff0000] well if you're a scalper and R/R ratio is ok why not 5 pips? that all depedns...

Your plan sounds like a good idea just that when you enter 5 lots you have to use more money in your account as margin and i think an account with more than 10k in it would work with maybe leverage of 100 or maybe 50 but 50 sounds well rather small to enter 5 lots of a trade unless you have more than 20k in your account. I am with oanda and the max leverage is 50 which i feel is a rather good thing cos i feel that we shouldn't have to use all the money in our accounts as the margin.
  • #20
  • May 13, 2020 12:36pm May 13, 2020 12:36pm
Quoting forex_fairy
You want to make more in fx trading would you rather 1 increase you lot size say from 1 standard lot to 2 standard lots with your tp 20 pips away or would you rather increase your tp from 20 pips to 40 pips? Personally for me i would rather increase lot size cos it seems very unlikely a pair even moves 20 pips in any direction hourly or in 4 hours let alone 40 pips. I think it's better to just increase lot size cos you can make the money faster since your tp will be hit since it's 20 pips vs 40 pips which would take lord knows when. Your...
I think,Risk management,is important so ad go with the 1 lot and 40 pips, to stay longer in the game.But I guess it all depends on the amount of risk one is willing to take.
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