Best Exit Strategies for Forex market ?

[barjon]

.............Exits based on keeping account balances ticking , are not technical exits and should be avoided.These exits are more to do with greed and fear of keeping cash and protecting it..........

er, not exactly. My target exits are not based on that at all, but I did say I would protect 1.5:1 where I could for that reason and it's nothing whatsoever to do with greed or fear.

As far as I'm concerned an individual trade is unimportant other than how it affects the whole. I know what I'm prepared to risk and what I want (target) or need (the "protection" bit) to take from the trade in order to maintain continuing profitability. So I take what I want (if I get the chance) and don't really give a toss if that's a "good" exit or not so far as that individual movement is concerned.

 

[15 min tlb]

interesting why some people exit!

[Trading Video] Becoming a Disciplined Trader (Ari Kiev) - YouTube

 

[neil]

er, not exactly. My target exits are not based on that at all, but I did say I would protect 1.5:1 where I could for that reason and it's nothing whatsoever to do with greed or fear.

As far as I'm concerned an individual trade is unimportant other than how it affects the whole. I know what I'm prepared to risk and what I want (target) or need (the "protection" bit) to take from the trade in order to maintain continuing profitability. So I take what I want (if I get the chance) and don't really give a toss if that's a "good" exit or not so far as that individual movement is concerned.

With you all the way brother.

 

[NVP]

some good points ...........at least some of us are debating an important area that is grossly under-reserarched by most traders

N

 

[NVP]

heres a few more ideas on trailing stops

http://www.thepatternsite.com/stops.html

N

 

[NVP]

and this one is indeed useful to me in my trading .............although I use variations of this particular idea

http://www.thepatternsite.com/fib.html

 

[NVP]

er, not exactly. My target exits are not based on that at all, but I did say I would protect 1.5:1 where I could for that reason and it's nothing whatsoever to do with greed or fear.

As far as I'm concerned an individual trade is unimportant other than how it affects the whole. I know what I'm prepared to risk and what I want (target) or need (the "protection" bit) to take from the trade in order to maintain continuing profitability. So I take what I want (if I get the chance) and don't really give a toss if that's a "good" exit or not so far as that individual movement is concerned.

agreed .........the important thing for any trader is to understand their total gameplan and to be happy with it over the long haul

N

 

[Toulminator]

I am currently experimenting with average market moves from my entry. After looking back at the last four months, from my entry the average move on the AUS/USD is 7 pips, I therefore take that every time the opportunity arises. I am now going to back test the other pairs. The main problem is that the MA's look different in real time than they do on back test. Also I miss out on big days. Does anyone have a solution to this? I trade 15min candles.

 

[NVP]

I am currently experimenting with average market moves from my entry. After looking back at the last four months, from my entry the average move on the AUS/USD is 7 pips, I therefore take that every time the opportunity arises. I am now going to back test the other pairs. The main problem is that the MA's look different in real time than they do on back test. Also I miss out on big days. Does anyone have a solution to this? I trade 15min candles.

Sorry T .......you need a seasoned backtester to answer that

why not split your trades so that the 7 pips is picked up as part of a maximising strategy for each sucessful trade

I would love to go back and do some scenarios on my winning trades using various multiple/exit strategies and see what worked best ....trying to squeese every pip from your winners is the key to maximum profitablity

N

 

[Toulminator]

Sorry T .......you need a seasoned backtester to answer that

why not split your trades so that the 7 pips is picked up as part of a maximising strategy for each sucessful trade

I would love to go back and do some scenarios on my winning trades using various multiple/exit strategies and see what worked best ....trying to squeese every pip from your winners is the key to maximum profitablity

N

If you take the standard 2% of account as your margin and then you split that with multiple entries you get the situation where your risk is effectively doubled or the same, your losses are doubled and your winners dont do as well. I have experimented with this and rejected it as a course of action. An example as follows:
EUR/USD 10pip stop with 2 contracts:
losing trade -20
winning trade +10 ( take profit) and then it has to be +20 to be 1:1 risk to reward
As a newbie I am especially looking for exit strategies. At the moment a take profit of a set amount is the best way forward for me. I suspect that if I am still in the game in a years time I will be letting my winners run more than I do at the moment and experience will take me out.
Are there any indicators that will help with exiting?
Thanks for your reply

 

[NVP]

If you take the standard 2% of account as your margin and then you split that with multiple entries you get the situation where your risk is effectively doubled or the same, your losses are doubled and your winners dont do as well. I have experimented with this and rejected it as a course of action. An example as follows:
EUR/USD 10pip stop with 2 contracts:
losing trade -20
winning trade +10 ( take profit) and then it has to be +20 to be 1:1 risk to reward
As a newbie I am especially looking for exit strategies. At the moment a take profit of a set amount is the best way forward for me. I suspect that if I am still in the game in a years time I will be letting my winners run more than I do at the moment and experience will take me out.
Are there any indicators that will help with exiting?
Thanks for your reply

hmmm........I dont think we are on the same wavelength dude.....you really need to look a little more closely at the concept of multiple exit strategies ..and I would advise not to set to much around targets ....they inhibit the fat tails out there ......

N

 

[Legslapper]

Hi, Google Chuck LeBeau on trailing stops using the Chandelier method. It' serves me well.

Regards Legslapper

I had a hunt around but its pretty thin on the ground out there regarding what is the best Exit strategy for a trade (let alone Forex specific)

so c'mon lets get to business and decide / Debate the area that is actually more important than the billions of threads on Entry points......any idiot can enter a trade ........but when to leave the party ? :whistling


Ma's ?
Targets ?
Price action Support / Resistence levels
Trailing Stop losses ?
any other indicators ? (eg SAR ?)
News releases ?

whats your favourite and why ?..or do you combine multiples ? :smart:
N[/QUOTE]

 

[Shakone]

If you take the standard 2% of account as your margin and then you split that with multiple entries you get the situation where your risk is effectively doubled or the same, your losses are doubled and your winners dont do as well. I have experimented with this and rejected it as a course of action. An example as follows:
EUR/USD 10pip stop with 2 contracts:
losing trade -20
winning trade +10 ( take profit) and then it has to be +20 to be 1:1 risk to reward
As a newbie I am especially looking for exit strategies. At the moment a take profit of a set amount is the best way forward for me. I suspect that if I am still in the game in a years time I will be letting my winners run more than I do at the moment and experience will take me out.
Are there any indicators that will help with exiting?
Thanks for your reply

I don't understand your example. You have a 10 pip stop, if you lose you lose 10 pips per contract (-20 total). If you profit you take 10 pips as first target 20 pips as 2nd target, then you have 15 pips per contract (+30 total), and a risk reward of 1:1.5, right?

 

[Reds28]

Good thread. I am struggling with my exits with one of my strategies. In fact, I am struggling with exists across all my strategies, but one in particular. My favoured get out is at support and resistance levels. But when it gets there I find myself holding in the hope that S/R would break. Because when it breaks there is a chance the price could speed through for substantial number of extra pips. Also, how much value do you guys put on support and resistance below the daily? Do you guys find support and resistance on the hourly, for instance, credible?

 

[Adamus]

Good thread. I am struggling with my exits with one of my strategies. In fact, I am struggling with exists across all my strategies, but one in particular. My favoured get out is at support and resistance levels. But when it gets there I find myself holding in the hope that S/R would break. Because when it breaks there is a chance the price could speed through for substantial number of extra pips. Also, how much value do you guys put on support and resistance below the daily? Do you guys find support and resistance on the hourly, for instance, credible?

You obviously have to refine your S/R exit strategy then if you are constantly second-guessing it.

It sounds like you are trying to play an S/R entry strategy simultaneously rather than concentrating on the exit strategy. You probably just have to clarify exactly what you are trying to do.

 

[NVP]

Jees is this back in play ?.......thought we'd buried this years ago :smart:

N

 

[NVP]

Good thread. I am struggling with my exits with one of my strategies. In fact, I am struggling with exists across all my strategies, but one in particular. My favoured get out is at support and resistance levels. But when it gets there I find myself holding in the hope that S/R would break. Because when it breaks there is a chance the price could speed through for substantial number of extra pips. Also, how much value do you guys put on support and resistance below the daily? Do you guys find support and resistance on the hourly, for instance, credible?

Welcome to trading......exit strategies should be hard wired into your trading strategy the same as every other element.....my only advice is to consider taking profits out of a trade as you go ......it's called a lot of things by different people but works pretty well......you never achieve 100% return on a good run but equally you will extract more than average when the exits are tricky.....when you are calling that tricky s/r Why not take 50% off at that point and let the remaining run ?

All or nothing is not the optimum solution over time and thousands of trades :smart:

N

 

[NVP]

According to me, the best exit strategy is one which use two EMA and their crossovers. You can practice this strategy on platforms like Signalstime to be more confident..

get off the thread and stop trolling everything at Trade2win please ? :whistling

 

[Donwealt]

Great

 

[ForexinDevon]

Have a TP and an SL. Boom.