thanks Paul,
I've learn so much by doing this, early days tho.
The main thing I've learned, is I learn much much more by doing, rather than reading threads (altho reading threads is important also)
cheers
Glen
Hi Glen,
Nice one, no doubt. Now maybe, I am 'forcing this a bit', however, I have wondered, and obviously based on your position sizing, what sort, of drawdowns you have witnessed during some of these trades (not necessarily today's ones either) and more importantly, perhaps, would you have been able to 'hold' onto these positions.
I say that because, remember on Iraj's last webinar, the Amzn trade went into the red by upto $600, and yet, Iraj as per his discipline and rules, still held on.....how many traders would/could do that. I suppose it is one of the perennial problems a trader faces which then leads to thinking if your position sizing is correct.....and then of course, less size means reward.
Anyways.
hi Frank, thanks for the post,
intra day draw downs, i'm not sure which was my largest (which is poor results keeping on my part, which i will address at a later date)
however I would think it was my two long trades on rimm and aapl on 28th March. Rimm went against me about $1.32!! and aapl about $.59, before returning to a small profit.
This would have amounted to a open trade draw down of just over $1,000 (would I have closed if live, not sure, I guess we'll see when i go live) I have been think about this and have the the following two views on what the possible solultion might be for live trading:
1. 'tune' my mind into trading the trade only. Do not have my account balance in front of me, look only at the market charts (and Macci's) and the stock charts and prices
or
2. Have my account balance in front of me, but also have my intra day paper trade results in front of me (or tattooed on my brain) and prepare my mind for the worst.
thanks for the input
Glen
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Glenn
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Some thoughts on this - Just lately the Daily ATR of INDU has come down quite a lot, which basically means that we have been in a small range and imo the maccis have struggled to map the price action.
Sooner or later there will be a rush from this range and volatility will increase as a consequence. Then, dependent on News or Tech periods, there will be more opportunity for holding longer imho.
2 days ago I fell foul of this by holding for longer using the cycles in low volty, and got punished for it.
Before that I had been scalping ok while my kids were on holiday and when they went back to school I decided to try holding longer - mistake.
Glenn
How to time the exit for a loss making trade
Reading the last few posts, I think it is best to start thinking on a clearly thought out exit strategy for the loss making trades-
Just an open question to all (especially Iraj)- the 10 min Indu does not sometimes necessarily completes the cycle which it had started and turns away at 1/4 move- so the question - what is the best strategy to exit for a losing trade (when things do not work out as expected during the entry)-ofcourse the intention is to minimise the losses?
Hi friends please can you let us all know your thoughts on this?
Best wishes
Raj
Reading the last few posts, I think it is best to start thinking on a clearly thought out exit strategy for the loss making trades-
Just an open question to all (especially Iraj)- the 10 min Indu does not sometimes necessarily completes the cycle which it had started and turns away at 1/4 move- so the question - what is the best strategy to exit for a losing trade (when things do not work out as expected during the entry)-ofcourse the intention is to minimise the losses?
Hi friends please can you let us all know your thoughts on this?
Best wishes
Raj
Sure Glen,
I have had a few, no doubt. Can't remember the worst, but have had a few in the $600-$900 range. The general rule is that you close when either the 10 goes against or you become aware that you are trading in a non-technical period. Either way, it is not a nice situation to be confronted with, but, it is trading !!!
Regarding advice.....well, all I can say is that you must follow your rules, oh yeah, and make sure that you have some clean underwear close by.
Take it easy,
Frank
Hi Raj,
I seem to remember that you recently posted that your technique involved cutting quickly and that you were having great success with this, with mostly winners.
I do congratulate you on your success, but, wonder now based on your post above if this is still the case, and if so, can you open up this question by explaining your technique more fully first for all. Now, if indeed, your success has waned a little, I wonder, if you could perhaps explain why you think that is. Would be most enlightening.
Thanks,
Frank.
Just found this on exit from one of Grey1's posts-
The advice was to exit as soon as any capitulation/euphoria is detected while holding a position.
Hi Frank thanks for your post-I normally wait, as you mention in your post, for the indu to turn for an exit for a loss making position but most of the times by the time the indu turns against my position, my stock has already turned quite a lot ....
Any other thoughts at all?