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Trading in choppy markets

  • #1
  • First Post: Apr 21, 2016 9:49pm Apr 21, 2016 9:49pm
Hello to all traders....
I am beginner trend trader trying to become a pro full time trader.
My biggest problem is when the market conditions are bad [many mondays for instance].
I tend to enter less than perfect setups [mini so called- trends] which many time cost me many losses.
I have improved my patience- staying out of the market and waiting more but still it is difficult.
My QUESTIONS:
1. What are your methods and advice to trading when markets are choppy and don't present clear and strong trends?
2. If the advice is to just wait- how many trades\days in a week do you need in order to bring home an average monthly income?
One of the reasons I have 'less patience' is my fear that I won't be able to earn enough and be a full time trader if I stay out of the market for too long.
Thank you and any bless you for any good and honest advice that you give
  • #2
  • Apr 21, 2016 10:38pm Apr 21, 2016 10:38pm
For your situation, I would suggest that you trade during your 'sunlight' hours and still hold a job of some sorts during your night hours. Once you have established a strategy that is consistently making you money, then you can start scaling up your lot sizes or increase your capital amount in order to keep your leverage usage down.

DO NOT start trading full time until your system is profitable consistently!

Sorry I'm not going to address your questions directly because I think you are trying to rush the process and taking too many bad risks. If your strategy is not workable during choppy markets, then why are you trying to force it to do that?
  • #3
  • Apr 22, 2016 1:51am Apr 22, 2016 1:51am
[quote=pulke;8886934]Hello to all traders....

Hi Pulke, my immediate question is to ask you what time frame/s you are trading off. The amount of capital you have to trade is also important, because this will determine how much you can risk, and the time frame you trade off.
  • #4
  • Apr 22, 2016 2:25am Apr 22, 2016 2:25am
[quote=cat;8887186]
Quoting pulke
Hello to all traders.... Hi Pulke, my immediate question is to ask you what time frame/s you are trading off. The amount of capital you have to trade is also important, because this will determine how much you can risk, and the time frame you trade off.
Hi
I am trading 1 hour time frames mostly. I would like to be able to eventually go to the daily .
I Think I can open a 10,000 $ account. Or a little more..
  • #5
  • Apr 22, 2016 2:27am Apr 22, 2016 2:27am
Quoting slaughter28
For your situation, I would suggest that you trade during your 'sunlight' hours and still hold a job of some sorts during your night hours. Once you have established a strategy that is consistently making you money, then you can start scaling up your lot sizes or increase your capital amount in order to keep your leverage usage down. DO NOT start trading full time until your system is profitable consistently! Sorry I'm not going to address your questions directly because I think you are trying to rush the process and taking too many bad risks. If...
too late! I was laid of from a computer job and work is hard to find.
I have been thinking of getting a part time job.
I think that if I work nights- I won't have energy left to trade days. And sleep..
  • #6
  • Apr 22, 2016 2:32am Apr 22, 2016 2:32am
Just don't panic, they wont stay choppy for long

And yeah, never leave your job until you made enough money, if I had left my job I would probably be a homeless by now.
  • #7
  • Apr 22, 2016 4:04am Apr 22, 2016 4:04am
[quote=pulke;8887243]
Quoting cat
{quote} Hi I am trading 1 hour time frames mostly. I would like to be able to eventually go to the daily . I Think I can open a 10,000 $ account. Or a little more..
So what's your risk going to be per trade? I would recommend you go no higher than 0.5%, which will give you a 50pip SL on an hourly time frame.
  • #8
  • Apr 22, 2016 4:47am Apr 22, 2016 4:47am
hi mate, i would suggest trading 4H TF only if you are a beginner, it is quite easier to work on high TF and get used to markets and trends and move lower TF,which are very choppy most of the time.. multiply profits when you are in a trend and cut losses on wrong entries is only way on FX. my 2 cents
  • #9
  • Apr 22, 2016 5:53am Apr 22, 2016 5:53am
Hello dear.
First of all u don't need to hit hard.
U only requires 150 to 200 pip per week to success in this game.
Increased yiur lot size as account grow.
Set your R.R on 3 % per trade .(at least 40 pip).
Last but most important First try on demo.
Avoids news time before and after 30 min.
Adopt a strategy breakout or swing...
Enjoy the ride.....
Trade fearless not careless...
  • #10
  • Apr 22, 2016 8:30am Apr 22, 2016 8:30am
Quoting disciplined
hi mate, i would suggest trading 4H TF only if you are a beginner, it is quite easier to work on high TF and get used to markets and trends and move lower TF,which are very choppy most of the time.. multiply profits when you are in a trend and cut losses on wrong entries is only way on FX. my 2 cents
  • #11
  • Apr 22, 2016 8:32am Apr 22, 2016 8:32am
[quote=cat;8887416]
Quoting pulke
{quote} So what's your risk going to be per trade? I would recommend you go no higher than 0.5%, which will give you a 50pip SL on an hourly time frame.
I usually put a 20-30 SL on an hourly time frame.

0.5 % ? I was thinking of risking at least 2% per trade. Maybe too risky.
  • #12
  • Apr 22, 2016 8:34am Apr 22, 2016 8:34am
Quoting mohsinali
Hello dear. First of all u don't need to hit hard. U only requires 150 to 200 pip per week to success in this game. Increased yiur lot size as account grow. Set your R.R on 3 % per trade .(at least 40 pip). Last but most important First try on demo. Avoids news time before and after 30 min. Adopt a strategy breakout or swing... Enjoy the ride.....
Thanks.
Right now 150-200 seems a lot.
Some weeks when the market is hot it is no problem but then some weeks it is choppy and difficult.
  • #13
  • Apr 22, 2016 8:48am Apr 22, 2016 8:48am
[quote=pulke;8888007]
Quoting cat
{quote} I usually put a 20-30 SL on an hourly time frame. 0.5 % ? I was thinking of risking at least 2% per trade. Maybe too risky.
Way too small on an hourly time frame, though it depends what fx pair or indecis you're trading, but too small. I use 10-15 pips on a 10 second time frame! A 30 pip SL would be about right on a 5m TF, but hourly, no way!!

2%? Probably too much unless your strike rate is very high.

Also, if you are concerned with earning enough from trading, then you are almost guaranteed to fail. And it doesn't matter how many trades you make, what matters is the quality of each trade.

Sorry if I sound pessimistic, but I am just being realistic with you. I don't want to disillusion you, but you absolutely have to be aware of all the pitfalls to what you are attempting to do with relatively little experience. I have seen too many trader's dreams become awful nightmares because they believed they could do something that has never been done before!

Good luck, and be realistic. You will achieve success if you are.
  • #14
  • Apr 22, 2016 9:17am Apr 22, 2016 9:17am
Quoting cat
Quoting pulke
{quote} Way too small on an hourly time frame, though it depends what fx pair or indecis you're trading, but too small. I use 10-15 pips on a 10 second time frame! A 30 pip SL would be about right on a 5m TF, but hourly, no way!! 2%? Probably too much unless your strike rate is very high. Also, if you are concerned with earning enough from trading, then you are almost guaranteed to fail. And it doesn't matter how many trades you make, what matters is the quality of each trade. Sorry if I sound pessimistic, but I am just being
...
Thank you, I will try hard.
  • #15
  • Apr 22, 2016 4:31pm Apr 22, 2016 4:31pm
Quoting pulke
Hello to all traders.... I am beginner trend trader trying to become a pro full time trader. My biggest problem is when the market conditions are bad [many mondays for instance]. I tend to enter less than perfect setups [mini so called- trends] which many time cost me many losses. I have improved my patience- staying out of the market and waiting more but still it is difficult. My QUESTIONS: 1. What are your methods and advice to trading when markets are choppy and don't present clear and strong trends? 2. If the advice is to just wait- how many...
Shouldn't your trading system tell you when to trade and how to trade the choppy market?
And i think you can use any stop loss, small or big on any time frame depending on your trading style and strategy.
  • #16
  • Edited 6:12pm Apr 22, 2016 5:36pm | Edited 6:12pm
Forget chasing the longer term trend, there's too many variables involved throughout every part of any country/currency to really be able to hold successful for long term, the smaller time frame in my opinion is where the real price action takes place.

but like ars*holes and opinions, everyone has one. please do not bite or I'll have to change my nappy again
  • #17
  • Apr 23, 2016 1:15pm Apr 23, 2016 1:15pm
Quoting fxnow
{quote} Shouldn't your trading system tell you when to trade and how to trade the choppy market? And i think you can use any stop loss, small or big on any time frame depending on your trading style and strategy.
Right now my trading system is still lacking in technique for choppy markets- hence my request here for help from more experienced traders.
  • #18
  • Apr 23, 2016 1:17pm Apr 23, 2016 1:17pm
Quoting GDR3k
Forget chasing the longer term trend, there's too many variables involved throughout every part of any country/currency to really be able to hold successful for long term, the smaller time frame in my opinion is where the real price action takes place. but like ars*holes and opinions, everyone has one. please do not bite or I'll have to change my nappy again
When you say long- what do you mean? a couple of days? a week? a few weeks?

I agree that there are many variables that could hurt your position long term, but as I understand it there are professional traders as well as banks that hold possitions for weeks and months successfully, so it is possible but probably not easy and not for beginners.
  • #19
  • Last Post: Apr 23, 2016 2:44pm Apr 23, 2016 2:44pm
[quote=pulke;8888007]
Quoting cat
{quote} I usually put a 20-30 SL on an hourly time frame. 0.5 % ? I was thinking of risking at least 2% per trade. Maybe too risky.
Forget %$ remember pip ... move of pair average 40%Avoids choppy pair like Eu Usd....Try some commodities.
Trade fearless not careless...
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