murray t turtle
Registered: Dec 2001
01-27-06 02:14 PM
Quote from Buy1Sell2:
It appears that this is a combination then of both charts and account balance analysis. This may be the proper approach using both.
I wonder if there are others that use a combination or just one of the two--Best regards
a] Probably most traders, especially @ first, think 1-3% max risk of total equity sounds too extremly low. Its about right ,1% or so.
However related to that, swing position trading say one loss, 2 losses for sure in a row usually means my med trend has changed;
so TREND [or 1 loss/any size] of equity can send you a valuable message, cut back much less than 1%. Or simply stop shorting GM now[ swingtrade recently, thank God only about 1% risked/GM] short. Medium trend did change on GM
z]Prices trend, gains trend ,losses tend to trend,thus cutting back valuable hint.And stop/ entry /exit is determned by trend lines/ma also.....
Big trends Price Headly had 2 interesting long only profitable system this am,hit rate less than 50%, so 1 or 2 losses in a row may not automaticaly send a valuable message.