Position Sizing: How many of you Scale in & out?

Discussion in 'Risk Management' started by KCalhoun, May 30, 2022.

  1. KCalhoun

    KCalhoun

    On a positive note, traders worldwide have found value in what I've taught, since 1999. Many have stayed with me for years, and I appreciate being able to share lessons learned.

     
    Last edited: May 31, 2022
    #21     May 31, 2022
    murray t turtle likes this.
  2. Ken:

    Here are 3 things that you can do to improve your trading results:

    1) Love Your Wife: Be grateful that you are not single and focus your energies on your wife and the markets, not other women.

    2) Trade for Meaningful Stakes (Read the Zurich Axioms). It's one thing to manage risk, but if you have an edge, it will pay off in a big way. You think and trade way too small right now. When you trade bigger, then you can scale out as positions move in your favor.

    3) Understand Your Weaknesses. You have a need to be right -- which is probably why you are trading so small and why you sometimes fight the market. Along with this, comes the bias to the short side. If you can overcome those, you will see your results become better.

    Good luck to you.
     
    #22     May 31, 2022
    Axon and KCalhoun like this.
  3. GoldDigger

    GoldDigger

    I have been in stonks where price decreased
    and have bought more when I was fairly
    confident price would increase.

    It usually worked out great.
     
    #23     May 31, 2022
  4. Hello formikatrading,

    We all want to trade big size, we do not have enough money.

    Can I borrow $1,000,000 trade big size?
     
    #24     May 31, 2022
    formikatrading likes this.
  5. Well . . .

    Keep in mind that my comment about position size was directed at Ken -- I know he is not risking nearly enough.

     
    #25     Jun 1, 2022
    KCalhoun and SimpleMeLike like this.
  6. %%
    THAT 's easy ; concerning understanding that post.
    I simply pointed out KC's remarks , in post on page 1 here;
    contained much more swing trading remarks+ contained more volume than his daytrades.
    [IN 20/20 hindsight i maybe should not have expressed that as a ratio remark LOL]:D:D
     
    #26     Jun 1, 2022
  7. Dogsun

    Dogsun

    My first entry is usually a limit order that gets hit. Once in, if it's followed by a strong confirmation candle, I'll enter the rest of my position here or on a breakout of the candle. Stop loss usually goes below the low of the candle.

    If I get a confirmation candle but it isn't "strong" by my definition, I'll let it do it's thing on a breakout and see if I can catch the rest of the position on a pullback if I still like it.

    Sometimes the confirmation never comes at all and it was a bad trade. So I exit out with a small loss on half of a position size.
     
    #27     Jun 12, 2022
    nooby_mcnoob likes this.
  8. Same. Except sometimes I get super aggressive when it goes my way.
     
    #28     Jun 12, 2022
    Dogsun likes this.
  9. Dogsun

    Dogsun

    I like to check the overall market conditions and the sector ETF of whatever stock I'm trading. If both are strong I'll get aggressive. If both are weak I scalp out of most of my position.
     
    #29     Jun 12, 2022
    nooby_mcnoob likes this.
  10. KCalhoun

    KCalhoun

    Good timing, for example right now I'm light in inverses, eg 300 uvxy, 70 sqqq etc.

    If markets sell I'll swing 2-5k uvxy by scaling in
     
    #30     Jun 12, 2022