I'mhaving a serious problem keeping my profits

Discussion in 'Trading' started by Kovacs, Aug 21, 2007.

  1. Kovacs


    Now that I know how to make money, keeping it has become the central problem.

    I'm not just talking about losing a big chunk of it. I mean going all the way deep into the negative(for my level).

    Do you have any suggestions?
  2. mde2004


    Get a mentor so you don't blow the entire bankroll like I did.
  3. Kovacs


    What would a mentor do? Make you walk away after losing a certain amount?
  4. Remember how to make money.
  5. craneman


    3 things:

    - Consider your position size. Using too big of lots in relation to your account size can really chew up your account if the market gets choppy and you take say 4-5 losses in a row.

    - learn about risk/reward ratio. For me I dont get into a trade that isn't at least 2:1 or more (3:1 or more preferred). This way one winner can make up for several losers.

    - Use a stop loss. When a trade goes against you to a pre-set point get out and save your money for the next trade.

    It sounds simple, but if you let your emotions get involved in the decision process things can go down the shitter real fast.

  6. KS2007


    If you are losing money...then you do not know how to make money. Part of making money is holding onto that money. Anyone can have a lucky streak.

    A (good) mentor would teach you how to make money consistently and hold onto it. Good luck.
  7. Is it just me or does that statement seem inconsistent?
  8. lindq


    Yes, an interesting double negative. How does one keep the money one has lost?

    Does this trader lose money after keeping it? Or keep money after losing it?

    And if one has lost money, how does one have money to keep?

  9. i think what he's trying to say or should have said is that he has entry strategies ready but not exit signal or strategy. consequently, he initially makes money but ends up losing because he doesn't know how and when to exit or quit the trade. in my experience, exitting a trade is far more important that entering it. Good luck.
  10. neke


    When you find the answer be sure to share with us all. We all need it.
    #10     Aug 21, 2007