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Post by traderAllen on Jan 14, 2017 11:51:10 GMT -5
Your first goal should be going from a losing trader to a breakeven trader. Forex is a good spot to learn, you should only be using a micro account. Your position size should only be one micro per target. You will not be making gobs of money but you will not be losing gobs of money as you learn. You need to track your profits and losses month over month you do not increase your position size until you've shown a profit for at least a month or two, even then you only increase your profits and baby steps. This is done to protect your psyche. Growing your emotions is just as important as growing your trading account you cannot do one without the other.
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Post by traderAllen on Jan 14, 2017 11:57:08 GMT -5
Question from aspiring trader ..........Don’t you think that aiming for something slightly higher than not losing money this year might be realistic, if not possible
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Post by traderAllen on Jan 14, 2017 11:58:27 GMT -5
No focus on avoiding losses, even if sometimes that means only taking one pip profit, the profitable trades will manage their self,
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Post by traderAllen on Jan 14, 2017 11:59:14 GMT -5
Question from aspiring trader ..........Manage risk, preserve capital
What do you set your stops at?
So the key, really, isn’t avoiding losses…it’s identifying winning entries
Your stops and reward targets take care of themselves when you identify an entry
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Post by traderAllen on Jan 14, 2017 11:59:32 GMT -5
You take the trade based on idea and set of rules. You get a trade entry. As soon as you recognize the trade is not working as planned you get out. Whether that means taking one or two Pips profit one or two Pips loss you do not hang on to a trade to a full stop out, that is already not going as planned. Your initial stop is there to protect your trade in case something happens unexpected it is not where you exit a trade
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Post by traderAllen on Jan 14, 2017 12:00:16 GMT -5
Question from aspiring trader .........And your setups are based on FPAS
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Post by traderAllen on Jan 14, 2017 12:01:14 GMT -5
Example you take a trade that should be breaking out as soon as the breakout fails you exit the trade is over. You did not wait for it to take out a 10 or 15 Pip stop
Doesn't that make more sense than hanging on to failing trades
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