at this rate mr blix.. i may take you up on that and jd & coke chaser :rambo:
Wallstreet1928 Analysis & live calls on FTSE,DAX,S&P...aimed to help New traders
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at this rate mr blix.. i may take you up on that and jd & coke chaser :rambo:
SuddenDeath
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Do you make good profits when you are successful?
I ask because I sincerely believe that a 20 points loss is too much.
You have to make that up again.
Now, if you frequently make much larger profits , that is another matter, but I aim to take anything from 15 to 40 points. That is why I think that your risk level is high.
Regards Split
I ask because I sincerely believe that a 20 points loss is too much.
You have to make that up again.
Now, if you frequently make much larger profits , that is another matter, but I aim to take anything from 15 to 40 points. That is why I think that your risk level is high.
Regards Split
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i am still recording stats on 3 or so strategies..while trading real cash on 2
when i have more data i will determine fixed SP and TP.. but at the moment i use max -15/20 and take what i can nnja style ..
like ws says.. you'd be amazed how beneficial a bigger (poss) 20+ stop is..the market needs to room to breath.. if you get caught then so be it.. of course the RR is important but so is not gettign stopped out too early..
dr.blix
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i think stops is a big area of risk management that i need to get straight.
the way i understand it so far is:
1. stop as a percentage of your account/position size you wish to risk (poss around 3% of your account)
2. also taking into account your R/R ratio (pref 1:3 [reward])
3. whilst also taking into account the volatility of your instrument (poss by using ATR calcs)
any feedback on this approach welcome as my stops are just arbitrary right now, and i should prob get this sorted!
the way i understand it so far is:
1. stop as a percentage of your account/position size you wish to risk (poss around 3% of your account)
2. also taking into account your R/R ratio (pref 1:3 [reward])
3. whilst also taking into account the volatility of your instrument (poss by using ATR calcs)
any feedback on this approach welcome as my stops are just arbitrary right now, and i should prob get this sorted!
i am not really qualified in this area yet mr blix..but that kind of RR is good.. even 1:1 is good and acceptable to many because it only requires a 50% + SR to be ahead..
however in my opinion, i think you need a slightly longer term outlook intraday or otherwise to reach those margins.. i myself work on shorter timeframes and therefore use longer term specualtion as an overview as to what may be around the corner..
LeoE
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I used to have fixed stops, but now I'm using S/R levels to determine where I place my stop, same with entry. I've not been doing it long enough to really know how wells its working, but it seems to be better than my random fixed stops. Now I place my stops at a level where I can say that it is definitely not going my way, so I need to get out.
Eta: Also I'm using higher timeframes to try and catch bigger movements, I'm not sure how well my method would work on a lower than 1hr chart.
Eta: Also I'm using higher timeframes to try and catch bigger movements, I'm not sure how well my method would work on a lower than 1hr chart.
dr.blix
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interesting chaps, i've been favouring the idea of placing stops behind S&R recently.
makes a lot of sense, only thing to watch out for is overshoots blasting over S&R lines after very sudden swings, so again, volatility would have to come in there somewhere too.
i'm just about to get stopped out on my second short.
that'll be me down -35 pts on the day. not a good idea to open 'revenge' positions.
makes a lot of sense, only thing to watch out for is overshoots blasting over S&R lines after very sudden swings, so again, volatility would have to come in there somewhere too.
i'm just about to get stopped out on my second short.
that'll be me down -35 pts on the day. not a good idea to open 'revenge' positions.
SuddenDeath
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this is a good discussion about stops, parts are a bit mathematical but otherwise good read,
stops051903
stops051903
SuddenDeath
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Dr Blix we need a good news feed,
SuddenDeath
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30 mins before US pending home sale,
SuddenDeath
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2mins to US housing data
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