Down a couple K this month... Help?

[craig5150]

Hey,

Down a couple grand this month.

Switching to paper trading until I can
make some consistent cash before risking
anymore capital.

Can anyone recommend a good strategy?

I've tried using several different time frame charts,
at the same time to judge the trend.

3 minute, 5 minute, 15 minute and a 15 second.

I still seem to enter the trade at the wrong time.

I also use level II and time and sales screens.

Maybe my stops are too tight.

Usually .10 cent stop but I often get stopped out
and the trade goes on to make .50 cents to a dollar
after I am out of course.

How much of a stop do you use?

I also find if I set a stop limit it doesn't get filled.

But setting a standard stop usually costs me an extra
5.5 to .10 cents.

You can't win...

I also use a 10 day EMA and a 20 day EMA with MACD and
and RSI but I still manage to get in at the top some how.

Any sure fire tactic or method that can help me?

How do you decide when to enter and when to exit a trade?

A video tutorial would be helpful...

Thanks,

Craig

 

[pboyles]

You can't win...

g

I think you just answered your own question

 

[BeginnerJoe]

I mentioned in your other thread that the market is intelligent but you think it's dumb and likes to give you money. Until you reposition yourself to deal with an entity that is superior to your intelligence in every way, your money will keep disappearing.

They know where your stops are, and they will take you out, simple as that. They love wide stops, it just means more profit for them.

 

[craig5150]

Can you recommend a good video?

 

[BeginnerJoe]

Let me google that for you

 

[wackypete2]

Let me google that for you

ROFL!

Excellent

Peter

 

[Ambrose Ackroyd]

Can you recommend a good video?

From Dusk Till Dawn - Salma Hayek Table Dance - YouTube

 

[FringFX]

stops are tight plus you are trading lower timeframes which is probably getting you dizzy and confused. it would be difficult for you to judge the trend with those timeframes

 

[NVP]

Hey,

Down a couple grand this month.

Switching to paper trading until I can
make some consistent cash before risking
anymore capital.

Can anyone recommend a good strategy?

I've tried using several different time frame charts,
at the same time to judge the trend.

3 minute, 5 minute, 15 minute and a 15 second.

I still seem to enter the trade at the wrong time.

I also use level II and time and sales screens.

Maybe my stops are too tight.

Usually .10 cent stop but I often get stopped out
and the trade goes on to make .50 cents to a dollar
after I am out of course.

How much of a stop do you use?

I also find if I set a stop limit it doesn't get filled.

But setting a standard stop usually costs me an extra
5.5 to .10 cents.

You can't win...

I also use a 10 day EMA and a 20 day EMA with MACD and
and RSI but I still manage to get in at the top some how.

Any sure fire tactic or method that can help me?

How do you decide when to enter and when to exit a trade?

A video tutorial would be helpful...

Thanks,

Craig

were you trading real money on a system that was not proven consistently profitable in Demo ?

N

 

[neil]

were you trading real money on a system that was not proven consistently profitable in Demo ?

N

Well said NVP - A crucial point often overlooked by those in a hurry

 

[R.Charnock]

Hey,

Down a couple grand this month.

Switching to paper trading until I can
make some consistent cash before risking
anymore capital.

Can anyone recommend a good strategy?

I've tried using several different time frame charts,
at the same time to judge the trend.

3 minute, 5 minute, 15 minute and a 15 second.

I still seem to enter the trade at the wrong time.

I also use level II and time and sales screens.

Maybe my stops are too tight.

Usually .10 cent stop but I often get stopped out
and the trade goes on to make .50 cents to a dollar
after I am out of course.

How much of a stop do you use?

I also find if I set a stop limit it doesn't get filled.

But setting a standard stop usually costs me an extra
5.5 to .10 cents.

You can't win...

I also use a 10 day EMA and a 20 day EMA with MACD and
and RSI but I still manage to get in at the top some how.

Any sure fire tactic or method that can help me?

How do you decide when to enter and when to exit a trade?

A video tutorial would be helpful...

Thanks,

Craig

Assuming you're not a millionaire who doesn't mind throwing away money, if you're down a couple of k in a month and asking those questions, I think you need to trade less or with lower stakes. Even if you go back to demo, trade in small amounts so the figures mean something to you, otherwise you might make a few k of easy virtual profit, and set yourself up for another big (real) loss.

 

[craig5150]

Good advice.

 

[Mr O]

In all honestly it sounds like you're a million miles away from where you need to be. No disrespect intended. If you're losing a couple grand and you have no idea why, and need someone to post a video for you then i'm guessing you're 2 years away from being in a positionto even consider trading real money. You shouldn't even be putting yourself in a position to lose two grand. Your post clearly shows that you have no risk mangement structure in place what so ever, otherwise you wouldn't be asking the question.

You should only be trading once you've proved you're consistent over a number of different market conditions. If you can't do that then you're an amature trader, and amature traders don't make a full time living from trading. The time you put into learning how to trade is no different than any other profession. Trading isn't a hobby that can make a lot of money, it's a full time professional job which takes a few years to fully understand. Just like a computer programmer goes to college or university for a few years just to learn the basics, or how a law student studies for years before they become a barrister or how a medical student studies for years before they become a doctor. I don't understand what makes people think trading is any different. They think about the $$$$ and think the learning cruve is going to be as easy as starting a job at Mc Donalds.

Chances are they you probably need to re evaluate how you're viewing trading and your expectations of trading. For example, the firm I trade for doesn't regard someone as an experienced trader if they have been trading for less than 5 years.

Retail traders need to stop thinking about the $$$$$. If you're committed you can do it, but it isn't going to happen over night or in the next few months.... Like I say, no disrespect intended, just giving you a reality check so you don't go throwing good money after bad again....

EDITED TO ADD>>>>

As for what you discribed in terms of how you're getting stopped out. You're making the classic mistake of not understanding market conditions. In range bound markets the majorty are trying to jump on a breakout such as yourself. All the people buying the breakout who don't understand market conditions are just giving the professional and large professional traders an opportunity to sell to all that are buying to return the market to value.... Classic example of stop running....

 

[dan1986ccfc]

I think your underestimating how hard this game is.
I'm also down a couple of K ( which is alot of money to me) but I've lost it over a period of two years and learnt hell of alot.
Stop trading lower time frames, stop using indicators and stop trying to make money. Just simply study price action on a daily candlestick chart... after about a year or 2 things may start to make sense.

 

[Mr O]

The biggest thing that held me back when I first started was thinking about the money. Thinking I want or need to make X amount a week, or I'm going to place my stop at X price because that's all i'm willing to lose in $$$.

Think like that and you'll never make a penny in the long run. You need to understand the market that you trade and its relationship with other markets. For example the relationship between equities, fixed income markets and the dollar. Money is just a side product of good trading. That's all....

 

[craig5150]

What should I focus on?

I need a first step to head in the right direction.

What method works for you?

 

[Mr O]

Well what market do you trade, how much capital do you have, how does the market you trade in operate, which markets lead your market etc...?

 

[Shakone]

What should I focus on?

I need a first step to head in the right direction.

What method works for you?

You want someone to tell you how to trade. This doesn't work.

Read what's been written. You've traded a method that you don't know whether it works or not. So of course you've lost. What is the first step? Stop trading. What method works for others? Irrelevant to you, because you're not others.

What is the second step? Try to understand the business you're taking on. Pick an instrument. One. Try to understand it. If you can't understand one, you can't understand more than one. Once you think you have an understanding of something, test it. once you've proven it, trade.

 

[Stanvax]

From rookie to rookie and forgive any obvious statements.

I have been trading for about 18 months now (spread betting forex/commodities) , stictly amateur, using real money, but amounts I can afford to lose, but learning as I go.
I started by making every mistake known to man, and few I reckon I have invented myself.
A big change in my success happened when I got properly serious about it. Recording every trade, setting stop losses and linites on every trade as I put the trade on.
I never risk more than 5% of my account ( v high risk if you are a pro, I think sensible if an amateur), so I know that even if I lose 10 straight, I will still have half my account left.
Once I have decoded the direction of my trade,I place my stop beyond the area of last significant resistance, then place a target limit the same distance away from my entry in the direction I expect it to move.
I work on the basis that if I set my stops and limites exactly the same distance away from my entry point, then, spread aside, even with no market knowledge, logic says I have a 50% chance of being right.

I should say, I set out to learn as much as I can amount a few key commodities or forex pairs, and try to use my judgement , backed up historic areas of resistance and trend indications (simple ma) to increase my chances of being right. I firmly belive that if you understand the narrative of the fundementals, and where there has been historic resistance, you can greatly increase your frequency of predicting market direction.
I read as much as I can about the commodities and forex pairs I am interested in. If you want to have any chance in this game you have to immerse yourself in the detail, and try to understand the drivers in the market. I ask myself this question before a trade. Could I explain the rationale behind this trade to someone in a logical way. If you really could - chances are you have thought it through properly.

So by ensuring your risk:reward is balanced, It seems to me that there is only 1 key performance indicator for you to worry about: how many times are you right?

Since I took this approach over a few hundred trades, I have maanged to keep my risk:reward ratio at 1:1 and have won 68% of my bets. I still record every trade, follow my 5% risk rule, so I know what a bad day trading will look like no nasty surprises, and It seems to be working.

I know, being a bit obsesses with stats, that all this could be a fluke staistically, and I wont really know whether this run of good fortune is a statictical anomaly, but there it is I hope it is useful

 

[BeginnerJoe]

I need a first step to head in the right direction.

The first step is to realise nobody will give to you what they have to pay blood, sweat and tears for.

The best teacher in the business graciously accepted your payment and taught you a few pointers. Did you not get any of that ? Were you busy sleeping in class ? You can repeat the lessons as many times as you want until you get it, and this teacher is quite patient. Eventually most people will get it, even the slowest of learners.