Wallstreet1928 Analysis & live calls on FTSE,DAX,S&P...aimed to help New traders

[papak]

The problem is that on the higher time frame i need to have a larger stop loss and when it comes to that i struggle with taking such a big loss due to limited funds in my account, had i more funds it would not be such a big problem but mentaly it will still make me want to wish and hope and eventially hold. Most entries i get away with and make some good money but once in a blue moon like this here rally i just fail to stick to the stop loss and then it becomes ever so harder to take the loss as it becomes substantially more than you can afford to lose, hence you wish and hope and pray for a retracement or reversal of some kind to get back to your original stop which this time around you are not affraid to take because of the pain you have taken so far. But besides this while all this is going on you can not consentrate on any other trade you wish to make and end up making a few other bad trades aswell.

Rule nr 1 : ALWAYS have a stop and never move it. You put it there for a reason

If you can't affor to have a wider stop then basically you dont have enough funds to trade. Do paper trading instead and learn to trade well. Most people are underfunded and make bad decisions. When you have a losing trade and lose 20% of your account its hard to stay calm and focussed.

Day trading is the hardest type of trading there is, as you need to analyse and respond very quickly. But a lot of people do this for reasons you just put here.

Dont want to lecture but just trying to help

 

[masnachu]

Thanks Masnachu for taking the time to put that together.

I have H4 trend bias confirmed as short this morning, on the breach of point 4 on both our charts. H1 bias short was confirmed yesterday – I will post a chart if anyone’s interested.
.

I'm off out for the afternoon in the next hour so haven't got time to go into this right now, will reply after the close tonight.

On your chart , on the 15th , just after 2 , I'd say you have a a short term high & low there , therefore altering yor count. (if your counting 5's roughly based on elliott , don't forget corrective 3's, there's info to be had there to)

Bias change - probably because I haven't read all of phils article on his site . but I consider bias change to be a change in the short term swing H&L's from down to up. (or vice versa)

 

[ian23]

papak,

I agree with you 100%, the problem is however that i do not have a job and this is my job and so i have to make it work. Scalping has worked well for me and i earn my living from it. I am just saying what happens when i do try to go for bigger moves which honestly i can not afford with my account to give others an idea of what happens to me when i make such mistakes so that they too can learn from my mistakes.

 

[Manya1983]

Ok you probably figured this out yourself by now, but why o why put a stop at a round figure of 4,500?? Put it at 4505 or something, a few points away form that level (dont even put it at 4501 or 4502 because thats wehere everybody puts their stop and stophunters will go for it!

Agreed, its something I would usually do but the dizzying amount of capital flying about must've got to my head. Any feedback is good feedback. We're all looking to learn. :smart:

 

[Geofract]

I'm off out for the afternoon in the next hour so haven't got time to go into this right now, will reply after the close tonight.

On your chart , on the 15th , just after 2 , I'd say you have a a short term high & low there , therefore altering yor count. (if your counting 5's roughly based on elliott , don't forget corrective 3's, there's info to be had there to)

Bias change - probably because I haven't read all of phils article on his site . but I consider bias change to be a change in the short term swing H&L's from down to up. (or vice versa)

Okey dokes - I am going by PNs defintions - but admit I might have missed something.

edit: I don't think it's Elliot related BTW.

 

[dr.blix]

Then we went down and broke the up trendline (taken from low on the 14th July).
This morning it came back up to the trendline and did a 78% retrace of the down move. We have now broken down lower so I think we have a lot more downside coming.

i disagree papak.

my lowest channel floor (i have a few) is taken from the 13 july spike. this gave me the 449 channel level that i'd mentioned earlier (which it has respected perfectly).

nice 50% retracement to 476, looks like it's wanting to drop to the next channel floor @ 449

so i have us very much still within the main up trend channel, with healthy bullish osc div at my channel floor.

a breach of this channel floor (which i believe is now something like 455) and a subsequent rejected retracement would be my indicator for more downside.

 

[Splitlink]

Papak

That is very inflexible.

My experience over many years is that if I don't move my stop into profit, at some time or other, the market will take away what I have made. Since I lose trades, the same as everyone else, if I get a profit that is above the average of my winners, then I am apt to either take it, or move my stop closer.

It's not, always, a case of being able to afford a wider stop. It's a case of knowing that the bigger the loss, the more the winning trades have to get that loss back before you increase account size, again.

I kept an open mind on wide or close stops for a long time. The debate continues and, I believe, it always will. I've swung over to the belief in reasonably close ones, but the bar size is very important.

 

[fast trader7]

papak,

I agree with you 100%, the problem is however that i do not have a job and this is my job and so i have to make it work. Scalping has worked well for me and i earn my living from it. I am just saying what happens when i do try to go for bigger moves which honestly i can not afford with my account to give others an idea of what happens to me when i make such mistakes so that they too can learn from my mistakes.

I am with you Ian. This is my full time job and i scalp all the time and it has paid me handsomely over the years.it is hard when you see your stop loss taken away and the market come back in favor just because you have a tight sl. But as you said, if you have a small account and you cannot afford to lose a lot of money i think, scalping is the best way. The only problem is the SB companies donot like it. i have had problems with almost all of them.
Keep the good work mate no matter what others say. Everyone is different,but we are all here to make money. some make millions,some make few pennies.

Happy trading

 

[Tickdoc]

Hey everyone...I've been away for a few days...best thing about this thread is that I can then catch up on all the carnage! Thanks!

 

[dr.blix]

That is very inflexible.

My experience over many years is that if I don't move my stop into profit, at some time or other, the market will take away what I have made. Since I lose trades, the same as everyone else, if I get a profit that is above the average of my winners, then I am apt to either take it, or move my stop closer.

It's not, always, a case of being able to afford a wider stop. It's a case of knowing that the bigger the loss, the more the winning trades have to get that loss back before you increase account size, again.

I kept an open mind on wide oe close stops for a long time. The debate continues and, I believe, it always will. I've swung over to the belief in reasonably close ones, but the bar size is very important.

so difficult getting stops right.

i've tried tiny and huge stops...(although i poss didn't give enough time to testing huge stops).

so many factors determine stops. probably (apart from volatility) the main one is your method of trading. i.e. how much time u want to spend being 'hands on' managing your trades.

 

[SuddenDeath]

FTSE in positive territory , this thing just wont stay down !

 

[lapalabra]

Agreed, its something I would usually do but the dizzying amount of capital flying about must've got to my head. Any feedback is good feedback. We're all looking to learn. :smart:

Manya, you put stop right on the nose of the Round Number Monster!!?? Heh, I'd like to know that dizzying amount of capital feeling

 

[rezadamus]

short ftse at 4480.5 (mornaning all)

 

[rezadamus]

Welcome back Reza my friend

thanks WS!

 

[pentlow1]

short ftse at 4480.5 (mornaning all)

Because? Im afraid I cant see the reason for this short just yet...maybe thats just me being thick! By all means tell me to mind my own business.

 

[ian23]

short ftse at 4480.5 (mornaning all)

funny that was my entry too

 

[fraggermcg]

50MA, day's open at tested above twice and rejected on the 10 min would be my guess. But I wasn't confident enough to take it.

 

[fraggermcg]

I have this feeling we're going to see 4520 today, probably not until the US opens though.

 

[rezadamus]

Because? Im afraid I cant see the reason for this short just yet...maybe thats just me being thick! By all means tell me to mind my own business.

high at 21/07/09 14.10 and low at 940am today, draw fib...38.2% suggesting a resistance around there...rsi and stochastic look like its losing momentum, ...stop at 4493- obv i might me wrong, but worth the risk

 

[cadoganpier]

morning all, short at 4882 SL 4895