Can you maintain success?

[Reds28]

If you've been trading profitably for over a year, lets say with with strict discipline (good entry, exits, money management), is it possible for those people to remain forever profitable as long as they maintain the same discipline? I hear some people say the markets change that leads to someone unable to maintain profitability over the long run. But as far as I can see, certain markets have the same patterns repeating themselves, even over decades. Yes they do go through different phases, bull and bear markets, but a good trader will be able to make money whatever the cycle.

My belief is this. If someone is profitable over a two year period then surely he's cracked it.

 

[radex78]

Maintain success in my experience is difficult task, in my trading loss and profit is common thing, but if look another trader result which they can increasing winning trades day by day and although faced with down wave but eventually still can making success trading again, so still we have same opportunity and we might can success like them

 

[Reds28]

I have a friend, (well, sort of a friend) who makes on average 800 monthly pips (or thereabouts) with ease, with let's say a range between 300 and 1500. I think he is better than pro traders. His trading method is purely on price action. I can't ever see him making net minus pips at the end of a month. His track record goes back well over a year. I hesitate in asking him how does it because I am not that close to him yet.

 

[Mr Sept]

I have a friend, (well, sort of a friend) who makes on average 800 monthly pips (or thereabouts) with ease, with let's say a range between 300 and 1500. I think he is better than pro traders. His trading method is purely on price action. I can't ever see him making net minus pips at the end of a month. His track record goes back well over a year. I hesitate in asking him how does it because I am not that close to him yet.

...................chuckles.

You will find quiet a few, more than five years 'old' here.

So maintaining success is possible, but it is not linear, from experience.

 

[dbphoenix]

I have a friend, (well, sort of a friend) who makes on average 800 monthly pips (or thereabouts) with ease, with let's say a range between 300 and 1500. I think he is better than pro traders. His trading method is purely on price action. I can't ever see him making net minus pips at the end of a month. His track record goes back well over a year. I hesitate in asking him how does it because I am not that close to him yet.

If your friend is a true price action trader, i.e., he doesn't use indicators or candles or candle patterns or any other sort of pattern then, yes, he will continue to be successful with it if he doesn't lose his focus as a price action approach is self-adapting and self-correcting; it "changes" along with the market.

Db

 

[ffsear]

If i had 1,000,000 quid, and risked 0.2% per trade, I'm sure i could show decent returns.

But £10,000 and risking 2% is just way out of my comfort zone.

 

[Reds28]

If your friend is a true price action trader, i.e., he doesn't use indicators or candles or candle patterns or any other sort of pattern then, yes, he will continue to be successful with it if he doesn't lose his focus as a price action approach is self-adapting and self-correcting; it "changes" along with the market.

Db

What in your view is "proper" price action trading? Don't price action traders also use candles? Candles are a representation of price action.

Edit: I want to add, I also believe if indicators work for someone today there is no reason why it won't in five years. I am a believer that markets will move in a similar way during one's lifetime i.e. repeat patterns, trend, range, etc. time and again. This means indicators will either work, or they won't, and if they work for someone because they are applying it correctly then it should also ways work for them. That's not to say they won't make losses, they will, but they won't simply stop working randomly just because they are one year down the line. Hope this helps.

 

[dbphoenix]

What in your view is "proper" price action trading? Don't price action traders also use candles? Candles are a representation of price action.

Edit: I want to add, I also believe if indicators work for someone today there is no reason why it won't in five years. I am a believer that markets will move in a similar way during one's lifetime i.e. repeat patterns, trend, range, etc. time and again. This means indicators will either work, or they won't, and if they work for someone because they are applying it correctly then it should also ways work for them. That's not to say they won't make losses, they will, but they won't simply stop working randomly just because they are one year down the line. Hope this helps.

Trading price means trading price. If one is using candles or indicators or patterns, then he's trading candles, indicators, patterns, not price. Trading price doesn't require any of that. Trading price doesn't even require charts. This is not to say that one can't develop a thoroughly-tested and consistently-profitable trading plan using anything he likes. But he won't be trading price. Calling it "price action trading" just confuses the issue.

Db

 

[Reds28]

Do you mean charts are completely redundant to pure price action traders?

 

[Reds28]

Made £300 last week demo trading. 6 trades all at £1 per point using one of my strategies. Four winners and two losers. So far so good. Let's see what this week brings. Will give this system a few weeks demo-ing before embarking with real money.

 

[lawrence-lugar]

Trading is kind of a funny business -- there's so many variables constantly in play

 

[NVP]

Forex trading success not so easy , we need lot of hard work and experience. To maintain success is also not easy, every time market goes change.

volatility is the oxygen of trading ...no change = no profits

 

[babyjake1961]

If i had 1,000,000 quid, and risked 0.2% per trade, I'm sure i could show decent returns.

But £10,000 and risking 2% is just way out of my comfort zone.

Take it down to £2,000 and risking 20%. Who cares about £400?

 

[NVP]

If you've been trading profitably for over a year, lets say with with strict discipline (good entry, exits, money management), is it possible for those people to remain forever profitable as long as they maintain the same discipline? I hear some people say the markets change that leads to someone unable to maintain profitability over the long run. But as far as I can see, certain markets have the same patterns repeating themselves, even over decades. Yes they do go through different phases, bull and bear markets, but a good trader will be able to make money whatever the cycle.

My belief is this. If someone is profitable over a two year period then surely he's cracked it.

there are many many reasons for a trader to drop the ball (as with any profession or life skill)

1) personal issues and other demands/distractions on our time and focus in Life
2) The market evolves - a good trader must evolve strategies or eventually lose money

we are not machines .......that's what makes us human :smart:

N

 

[babyjake1961]

The fact we're not machines is the very reason I switched to machines in my trading. I have neither time, nor patience, nor even the calculating ability to carry on with my trading strategy manually.

 

[Reds28]

Used one of my strategies on the 5 minute FTSE all day today. Used the same entry criteria as the hourly but demo traded the five minute at £1 a point to test the waters on the shorter time frame. 10 trades in all. Six winners and four losers. Around 30 points win vs. around 24 losing pips, so around 6 net pips. To be honest, I took a loss one of the trades when I was meant to bring it to break even. I was up 7 points but forgot to bring to it break even. I then received a phone call and when I got back after several minutes it hit the stop.

Didn't really consider the daily trend since I don't think daily trend is important when trading the five minute. So trades were both long and short since it was a ranging day today.

Edit: I think I need to improve my entries tomorrow. 10 trades were too many over the course 6 hours. Need to be more selective.

 

[radex78]

I have a friend, (well, sort of a friend) who makes on average 800 monthly pips (or thereabouts) with ease, with let's say a range between 300 and 1500. I think he is better than pro traders. His trading method is purely on price action. I can't ever see him making net minus pips at the end of a month. His track record goes back well over a year. I hesitate in asking him how does it because I am not that close to him yet.

very good achievement already in my view, making profit consistently only with price action without indicator, it making more interested to learn with simple ttrade using price action, if any trader have good understanding with the market although use simple analysis will get better result

 

[Reds28]

very good achievement already in my view, making profit consistently only with price action without indicator, it making more interested to learn with simple ttrade using price action, if any trader have good understanding with the market although use simple analysis will get better result

He's good, really good. He uses very clean charts with no inductors present on there. In your view, do you think it's easier with indicators?

 

[tomorton]

If you've been trading profitably for over a year, lets say with with strict discipline (good entry, exits, money management), is it possible for those people to remain forever profitable as long as they maintain the same discipline? I hear some people say the markets change that leads to someone unable to maintain profitability over the long run. But as far as I can see, certain markets have the same patterns repeating themselves, even over decades. Yes they do go through different phases, bull and bear markets, but a good trader will be able to make money whatever the cycle.

My belief is this. If someone is profitable over a two year period then surely he's cracked it.

I agree. Markets fluctuate, they trend and they range, they rise and they fall, but they don't "change". I don't buy this cop-out about markets "changing" so this or that system will just unexpectedly stop working. I'd like someone to show what this change looks like on a chart.

 

[Reds28]

I agree. Markets fluctuate, they trend and they range, they rise and they fall, but they don't "change". I don't buy this cop-out about markets "changing" so this or that system will just unexpectedly stop working. I'd like someone to show what this change looks like on a chart.

I agree that its a cop out. There are millions of people trading markets around the world and there are thousands of strategies in place, with different entry and exits, the market doesn't know the individual, does it even care, we are all insignificant players in the greater scheme of things. So to suggest the market is somehow conspiring against any one individual, is crazy talk.

As you say, the market rises, falls, ranges, trends. Picking out ranging periods from trending is not all that difficult looking at daily and weekly charts. If you're a price action follower you probably don't care much whether it's trending or ranging, and if you use indicators, well, then it's better you have at least two different strategies, one for trending phases and one that performs better in ranging. Sure, it's easier said than done but that is down to you and not the market itself.