How to maximize profits on a winning position?

Discussion in 'Trading' started by qwB, Jan 15, 2024.

  1. qwB

    qwB

    It is a fact that you need to maximize your winning positions for successful trading.
    I have come up with the following methods for maximizing profits

    1. Take Profit when EMA20 touch
    2. Fixed percentage trailing stop

    If you have a better system than these, please recommend it.
     
    murray t turtle likes this.
  2. TrAndy2022

    TrAndy2022

    And how do you find your entries with this trailing stop ?
     
  3. qwB

    qwB

    I'm just keeping it simple and thinking 4-5%.
     
  4. Zwaen

    Zwaen

    What is a "winning" position? What is your goal? What do you want to "capture"?

    You just gave 2 arbitrary parameters. It’s like saying:
    “Hey guys, I want to maximize my number of won tennis matches. What can I do? I've already identified: 1) serving, 2) smashing at the net. If you know of a better way, I'd love to hear it."

    If you want to maximize / optimize you trading results, you first need to identify what you are doing. For example, if you want to capture a large swing in swing trading, these can help. If you want to optimize result/drawdown or various other derived parameters, mixing can help.
     
    murray t turtle likes this.
  5. traider

    traider

    One way:
    Buy awesome businesses at a fair price
    Never take profit
     
  6. Zwaen

    Zwaen

    Find next “AI winner”, only sell when under MA350 daily, relax for 10 years.

    Probably best for retail. First part of the sentence can be difficult ofcourse
     
    murray t turtle likes this.
  7. tsfx

    tsfx

    where do you find those, tho?
     
  8. ironchef

    ironchef

    When there is blood on the Streets.

    Like Oct 2022 when META was trading @ $90 and MSFT @ $220, and March 2023 when GOOGL @ $90....

    But we could be playing Russian Roulette buying on any "dip", remembering 1998, 2000 and 2008 on emerging market bonds, dotcom and subprime mortgages.
     
    Last edited: Jan 16, 2024
  9. ironchef

    ironchef

    How?

    I still remember, painfully, all of my next "dotcom winners". All went belly up. Of those the only one remains is AMZN but it doesn't cover all the other total losses by a mile.
     
    murray t turtle likes this.
  10. hilmy83

    hilmy83

    How does AMZN didn't cover all those losers since dotcom? Even if all the other stocks went to zero, you would have come up on top with just AMZN. You weren't spreading the investments evenly?
     
    #10     Jan 16, 2024
    ironchef likes this.