Losing well. (Part 5) So at this point we are proceeding through the trade management phase. We've made it through the entry phase. We probably had some little small losses along the way to get here, but we kept them very small. Let's give ourselves ...

Trend Trading

Thanks Nivad. That's an excellent post. You are 100% correct on all points. As far as never let a winner turn into a loser, I presented an absolute rule that should be tempered for the specific strategy of the trader. I should have clarified that ...

Trend Trading

MJ, sorry, I misspoke. 4 Periods for my ADR is 4 weeks, not days. - G

Trend Trading

I'm sure that even though I've insisted many times that it's not the entry, it's the execution, some people are still fascinated by entries, so I'll discuss one just to make those folks happy. Here is the weekly chart of UChf (All Live charts). It ...

Trend Trading

Well, I'll take a break for a bit and allow my fellow traders to digest what I've written. Please understand that I am trying very hard to write down my own discretionary system in a rules based format and it is a challenge. Not only is there great ...

Trend Trading

Losing well. (Part 4) At this early point in the trade management process we have exited entry losers with minimum loss or perhaps even a bit of win. We do want to let profits run, so we'll wait until price is up at least 1/2 ADR before adjusting ...

Trend Trading

MJ, I'm not sure if you mean the number of periods for the ADR? I'm just basing my ADR on 4 periods (4 days) now. If you meant something else, let me know, OK? - G

Trend Trading

As a quick aside, lets consider uncertainties and probabilities. If we have a coin that is weighted so that when flipped it comes up heads 60% of the time, we will still be very uncertain what the next coin flip will be. In fact, the more times we ...

Trend Trading

Hey 60mm. Good to see you are still around. Hope you are doing well. Best success. - G

Systematic Trend Trading

Losing well. (Part 3) Before I continue, Let me emphasize once again that I am presenting this discussion from my view as a trend following swing trader. Obviously if you are a scalper you aren't going to trade with a 1 ADR stop and if you position ...

Trend Trading

Losing well. (Part 2) It may be obvious that if price moves against us quickly after entry, odds are tilted in the direction that this isn't a good entry. It's equally obvious that we need to get out of bad entries quickly and stay in good ...

Trend Trading

Renn, in post 502 I posted a "cherry picked" example chart of a EU down trend that ran from about May 2014 to March 2015 for about a 3300 pip drop. There were many great entry and exit points during that trend. I'd be surprised if anyone managed to ...

Trend Trading

Renn, I agree, but what do you call a good entry point? I revealed I only win about half my trades using the 50 X 200 MA cross in multiple time frames to trigger entries. That's about a 50/50 win loss ratio, but right now running about a 10 to 1 ...

Trend Trading

Hi Renn. Excellent point. Thanks for the relevant comment. I'll do my very best to address your question. Please be patient as this isn't quite as simple as trading the trends. This goes back to the fundamental question of, do trends exist, and, if ...

Trend Trading

Losing well. (Part 1) I've discussed this point before, but it's so important that it's worth repeating. One of the super traders in the Market Wizards books said that if you can learn to cut losers fast and small, you're almost invincible. That's a ...

Trend Trading

OK Taigen. I need to point out again that your trading system is completely different from mine. That's just fine if it works for you, but I don't want readers to be confused. My system is quite different in many aspects and your charts have nothing ...

Trend Trading

Your calculator won't go below 1% risk per trade. In my opinion, that's too much for a new trader. 0.5% max risk is a better starting point for a novice. I guess it doesn't mater much. All new traders bust their first account. I don't know of a ...

Balance required for these trades

I edited my above post with a little more detail. I have a hard rule that I never average down. I only add to winning trades and cut losers short. Also, every trade I enter has a stoploss, though they are often wide and I try to never hit one, but ...

Trend Trading

Taigen, you are welcome to post here. Just be aware that I have no opinion about anyone's entries. As I have said, mine are no better than 50/50, so I can't pretend to judge someone else's that uses a different system than I do, even if it's much ...

Trend Trading

Never risk more than 0.5% of your balance per trade. To start, figure $1000 per 0.01 lot traded in position size. Everyone busts their first account, no matter the size, so best start as small as you can. Best success. - G

Balance required for these trades