didn't mean to be curt. By nature a contrarian, in currency trading I work a good deal on the basis of speculation against what could, should, would be. as you may know, speculation can sometimes blow up in your face. and there's no getting around that. it is perhaps the reason why Soros made $1 billion on his infamous GBP short, then reportedly later lost a billion on another trade. but when it works out, it is the gateway to "cornering" the currency you're trading. Pound sterling (GBP)/USD works probably the best (for me) for these types attempts to profit from the forex. although I find it to be the most dangerous currency to trade. best, fx
As long as you have a plan for the trade in all its possibilties then you will be ok. Random decisions are what cause problems. .. I am always prepared to limit or prevent my loss if see a trade going against me ......
perhaps the best post so far. I trade similarly. what others maybe presumed that I never "cut" a loss, quite the opposite, I do indeed control losses if/when required. in fact, one of my most blantant Stop Losses happened when I was long EUR/USD a number of months ago and the vote came out. as I recall, the price was around 1.2600. I was in drawdown and just clicked close. having a chunk of my money go up in smoke. but due to my system I was fortunate enough to recover the losses within a few days. I am glad I did kick in my (pre-planned) stop loss because look where the price tumbled to. also, by controlling that trade via a stop loss it gave me a chance to sit on the euro longs sideline and see the fallout from the votes. later deciding there was still profit to be made going long the euro, which profits I did make as it tumbled to the 1.1800s.
Anyone here know which currency pair he chose to short GBP through? just one currency, or multiple currency pairs? My best bet is GBP/USD..
Hey, I have only glimpsed at the thread but I seem to miss the whine of those MM gurus. Pretty smart, but few know about this.
I'd like to ask the more advanced traders on the board how an intermediate, like myself, can eliminate drawdowns? Better entry timing? Moving stops to breakeven asap? Combination of both? Can you give me any advice?
You can put on a hedge..to buy you the time that you need...preferably a positive carry pair....usually everything returns and you can grid your way back....or use scaling techniques...it is hard work either way... Respect your Uncle point and fight to stay under it until the end...Use everything you know...Use your spreadsheets and calculate your way out of it....There are certain things that you can do to get the time you need....strategic placing of pairs into the picture at the right time is where it is at... When you look at your charts and cannot find a trade....this is when you take a break....I take frequent breaks to get perspective...some of my breaks have lasted several months. Michael B.