im on a roll

[teojh]

im on a very good roll in the wrong direction. From 11k plus i ended the jan month with 10k. The past few days, my capital became 8k plus now.
damn frustrating man. My broker rubs it in because of its wide variable spreads(cant change broker yet). I consulted the charts and a few times i was needlessly stopped out although price was still quite far from my stop.

my biggest mistake is overtrading and i know it. i feel damn uneasy taking trades, in my mind everything is a counter trend trade now against the long term trend. but i get stopped out up down left right even no matter i trade with the trend or against it. Often times my stop will get hit beyond a few pips then after that reverse into great profits.

This started after my trading became more precise and i also used smaller stops. Somehow the effect is not what i have intended. since a couple of weeks back my losing percentage is now almost 100%
wtf man. my biggest mistake is still over trading.

By trading more precisely and using tighter stops, have i developed the method of how a loser views the market!!??

 

[Rossini]

Reduce you position size by 50% at least, widen your stops.

 

[wasp]

STOP trading till you have it down right......

 

[everyonerich]

i will teach the following strategy soon.

- learn how to make money trading fx from home
- from complete beginner/no experience necessary to consistent profitable trader
- no guessing, learn exactly what you need to know
- 100% guaranteed success rate
- if your dont make any money after 6 months following my teachings, i fully refund your money back. no questions asked

 

[teojh]

yea i did widen my stops and reduce my position size as well. I still bled bit by bit continuously until my account becomes so much smaller. The stops get busted no matter how and majority look to be good entries.
im taking a break for this week to reflect. I have also written down some paper trades to see how it goes. they are profitable already but as always they usually reverse after that. I guess after some rest i will review my trades as well and see how i managed to buy the top and sell the low.

 

[glyder]

teojh,
I've had broker problems at times. If they really are making mistakes in executing your stops, you can complain... I have (use screen shots as evidence) and they have rectified the situation. They do get things wrong. (and they do play some dirty tricks too).
Havng said that I've been stopped out by 1 or 2 points and the market turned sharply, I feel convinced they are basically pushing the price to stop me out( as if they would bother on my miniscule acct) but when I check the 'real prices' I see that its just my bad luck (or bad trading!").... I can't always blame the broker.
Stil thats prob not the main solution to your trading bleeding account probs.

Take wasps advice. I'm in a similar process for this week.

 

[new_trader]

widen your stops.

No. Bad advice.

 

[Rossini]

No. Bad advice.

Not necessarily, if he reduced his position size by more than 50%, and increased his stop size by 20 percent he would still be taking less risk and arguably a higher probability of having a target reached. However I think stop trading is the best advice given on this thread.

 

[new_trader]

Not necessarily, if he reduced his position size by more than 50%, and increased his stop size by 20 percent he would still be taking less risk and arguably a higher probability of having a target reached. However I think stop trading is the best advice given on this thread.

How do you reduce position size by more than 50% on 1 ES contract? :whistling

"arguably a higher probability of having a target reached"

In what way is it arguable? If someone shorted the ESH9 contract at 800 would you suggest they continue widening their stop because the target of 780 will have more chance of being reached?

 

[richi rich]

Mate - stop trading - this small fortune will go to the dust.

Many big traders have lost many fortunes before realising and clicking. Its common.

Stop trading. Some trading books help certain problems. ur problem seems to be one that could be 'helped' by reading ''trading in the zone - mark douglas'

take into mind what he says, but obviuosly its not a holy grail, nothing is...remember everything is an opinion, and some opinions are far more sense making/favoruable than others.

Its a philisohical/physcological type book

all the best

 

[Rossini]

How do you reduce position size by more than 50% on 1 ES contract? :whistling

You carnt

"arguably a higher probability of having a target reached"

In what way is it arguable? If someone shorted the ESH9 contract at 800 would you suggest they continue widening their stop because the target of 780 will have more chance of being reached?

Of course not, but if he found that his stops where constantly getting hit but his entries are ok, then the logical thing to do is widen the stops, and then learn where to put the stops to get the balance right between risk and the possibility of getting constantly stopped out on winning trades. I'm not saying he should a spanish stop or anything like that! But I feel the best way is to give the trade room, so that if the entries are not spot on one wont be stopped out left right and centre. You have taken my comment out of context and then preceded to tell me why it was wrong.

 

[wasp]

.....or, improve the entries. 'ok' isn't good enough, sorry!

 

[Rossini]

didnt mean to post

 

[teojh]

thanks guys.
i will be back in a big way. And carry out a big heist on my broker

 

[new_trader]

Stops Are Stops - Not Excuses!

.....or, improve the entries. 'ok' isn't good enough, sorry!

No it isn't. Widening stops because you are convinced an entry is 'OK' is the surest way to bankruptcy.

 

[Claudia123]

No it isn't. Widening stops because you are convinced an entry is 'OK' is the surest way to bankruptcy.

Be quicker not having stops Leave the minimum amount of cash in your account and trade the minimum til you get confidence back. Running away wont help and paper trading for me is a waste of time. Get back in the markets slowly and don't be greedy!! Good luck.

 

[Rossini]

No it isn't. Widening stops because you are convinced an entry is 'OK' is the surest way to bankruptcy.

I'm not saying that! I do not mean one can get complacent about entries and timing is highly important, i'm just saying that if the stop allows the trade room to breath rather than choking it, then occasionally when the entry is not as good as it could be it can allow the trader to realise this and act accordingly.

 

[TomTom]

Indeed traders are required to manage risk.
However it is the direction that is important.
The markets are in 1995--1997 mode where they were range bound.
my stratogy is simple sell near the top of the range stops over and buy near the low of the range stops lower than the low.
This method requires real nerves to let the postion unfold. one to two days in current conditions.
Intra day trading can be profitable in these times, long as you dont over trade and have a reliable entry exit system.
try trading postions for one to two/three days I guarentee this will proove more profitable.

 

[new_trader]

One More Time

I'm not saying that! I do not mean one can get complacent about entries and timing is highly important, i'm just saying that if the stop allows the trade room to breath rather than choking it, then occasionally when the entry is not as good as it could be it can allow the trader to realise this and act accordingly.

From THE GRAND MASTER. For the Absolute minority who are willing to work hard and progress, I strongly advise you read and pay attention. For everyone else, let your positions 'breathe' as you sweat over whether your stop is going to be hit again...

My work here is done!

The single most important thing you have to concentrate on is limiting losses.
You do this by using stops.

As you become more procicient at picking winning moves you have to tighten your stop loss policy.

Limiting losses to the absolute minimum is the key. All else is peripheral.

Now that is a simple statement.

If everyone did this, everyone would survive long enough to eventually become proficient.

But very few have the self discipline to persist in this way.

I strongly suggest you follow the lead I have just given you.

Without going into deep details I explained that efficient traders use very tight stops because efficient traders get it right many many more times than they get it wrong, that is why they are efficient traders, OK ?

Therefore efficient traders are surprised and shocked when they get it wrong. The fact that they use very tight stops immediately limits losses.

Inefficient traders are apt to use wide stops and some blighters none at all !
They now begin to argue, yes argue, that to use a wide stop is the right thing to do because it allows a position to "breathe" and other nonsenses. When it is pointed out that wide stops used by inefficient traders who get it wrong often and really ought to fiercely control losses, they get abusive, or, begin to argue.

That is why I have so many posts under my belt. I have tried in the past to illustrate lots of ideas. These ideas are immediately recognised by a few who go on to use them beneficiallly which pleases me enoromously. The great majority see fit to argue and argue and do not progress.

One starts at the beginning and finishes at the end. You cannot start at these levels when you are a beginner. It is a matter of refining and reviewing and of self mastery through adversity by sheer dint of will. But anyone who aspires to eventually overcome can do it, it is a matter of determination and focus, and of a burning desire to succeed

 

[wasp]

Soc could definitely come up with some pearls of wisdom occasionally!