alpha_markets
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Hello and welcome to this thread. My name is Hemal Pandya and I’m a full time Independent FX trader specialising in short term trades on GBPUSD, EURUSD, AUDUSD, GBPJPY, EURJPY and GBPJPY crosses. Some of you will know me from previous posts/threads but I have created a new account in my company name.
With the support of my administrative team, I will be posting my strategy and market outlook for the London open session. As I try to make my pips in the morning, the vast majority of my posts will be just before and after the London session. I will try my best to answer any questions one may have as quickly as possible. I hope that the content give you a good insight into my trading and how/why I look for trades as well as how I manage my book.
Over the coming days, I will be posting some of my rules on entry criteria’s and how I determine my stop levels.
Let’s get straight in to the action....
Contrary to many traders, I don’t think it’s all about the pips. Personally I don’t pay my bills in pips but rather GBP. So I do not measure my performance in pips but % gains. Every single trade of mine is a fixed % (I personally use 2% risk per trade). This, in my opinion is a very straightforward, objective and simple method to measure my performance and most importantly compound my account. So the first lesson from me is money management.
Money management is the single most important factor in any business including trading. Ok, we’ve all heard that many times but I hear you ask “how do you manage your money”. Simple.
Account balance divided by 50 divided by stop loss size gives me my trade size. This ensures that every trade is exactly the same percentage risk. For example if I take a trade with a 20 pip stop loss and make 40 pips that equates to a profit of 4%. On the other hand, if I get stopped, my loss is 2%. Simple enough hey??
Anyway, that’s all for now. Next we’ll cover the indicators.
Feel free to get involved, ask questions help others in their trading journey and hopefully we’ll all make our 5% per week.
Regards,
Hemal
With the support of my administrative team, I will be posting my strategy and market outlook for the London open session. As I try to make my pips in the morning, the vast majority of my posts will be just before and after the London session. I will try my best to answer any questions one may have as quickly as possible. I hope that the content give you a good insight into my trading and how/why I look for trades as well as how I manage my book.
Over the coming days, I will be posting some of my rules on entry criteria’s and how I determine my stop levels.
Let’s get straight in to the action....
Contrary to many traders, I don’t think it’s all about the pips. Personally I don’t pay my bills in pips but rather GBP. So I do not measure my performance in pips but % gains. Every single trade of mine is a fixed % (I personally use 2% risk per trade). This, in my opinion is a very straightforward, objective and simple method to measure my performance and most importantly compound my account. So the first lesson from me is money management.
Money management is the single most important factor in any business including trading. Ok, we’ve all heard that many times but I hear you ask “how do you manage your money”. Simple.
Account balance divided by 50 divided by stop loss size gives me my trade size. This ensures that every trade is exactly the same percentage risk. For example if I take a trade with a 20 pip stop loss and make 40 pips that equates to a profit of 4%. On the other hand, if I get stopped, my loss is 2%. Simple enough hey??
Anyway, that’s all for now. Next we’ll cover the indicators.
Feel free to get involved, ask questions help others in their trading journey and hopefully we’ll all make our 5% per week.
Regards,
Hemal
