"Scaling out" is inferior behavior

Discussion in 'Strategy Building' started by Buy1Sell2, Oct 18, 2006.

Do you scale out of positions?

  1. I always scale out

    113 vote(s)
    14.1%
  2. I scale out most of the time

    228 vote(s)
    28.5%
  3. Most of the time, I do not scale out

    189 vote(s)
    23.6%
  4. I never scale out

    270 vote(s)
    33.8%
  1. Buy1Sell2

    Buy1Sell2

    As I have proven that all in all out is the best method over the long haul, then a great way to go instead of scaling is an all in all out approach with tight stop. You can always get back in with full position if the market comes back your direction. The scaler will rarely have their full position on when the trade moves in their direction whilst the all in all out trader will. It's common sense. :)
     
    #1501     Dec 29, 2011
  2. volente_00

    volente_00


    please remove the rose colored glasses mr better all in out with no fixed target.


    The scaler will have smaller losses compared to mr fixed target who gets stopped out on the full position for losses instead of profits.
     
    #1502     Dec 29, 2011
  3. Buy1Sell2

    Buy1Sell2

    The scaler will have smaller wins over the long haul.:)
     
    #1503     Dec 29, 2011
  4. ammo

    ammo

    or the scaler will have a partisl on when the move comes because they are rarely flat,where the all in ,out has a 50/50 shot of catching the move,unless of course they know exactly where to get all in and then all out,but you already(deny) know that
     
    #1504     Dec 29, 2011
  5. Buy1Sell2

    Buy1Sell2

    Correct method is to enter all in with a tight stop less than 2% of TLNW. Enter again all in if stopped out and market comes back in your direction--again using tight stop less than 2% of TLNW.

    Much more effective and superior than scaling:)
     
    #1505     Jan 14, 2012
  6. Buy1Sell2

    Buy1Sell2

    Still the most salient thread on the site. The tenet has been proven over and over again. This is not a discussion of whether or not a particular trading program is good or bad. Rather, this is a discussion of how to make even a bad program perform better. If you have bad entries and exits, you will lose less by not scaling----if you have a good winning system, you will earn more by not scaling in or out. Very simple
     
    #1506     Jan 8, 2015
  7. taowave

    taowave

    Scaling out is no different than having 2 different strategies,both with the same entry,just different exits.
     
    #1507     Jan 8, 2015
  8. Buy1Sell2

    Buy1Sell2

    nice try
     
    #1508     Jan 8, 2015
  9. taowave

    taowave

    How is it anything but that?
     
    #1509     Jan 8, 2015
  10. Buy1Sell2

    Buy1Sell2

    Trades that are executed at the same price must be entered using the strategy that one would expect to be the most profitable. Only a fool would enter a trade at a price employing two different strategies.
     
    #1510     Jan 8, 2015