I also recommend Xela's list. When you have no knowledge at the starting line, every physical grown up adult is a towering intellect. How long does it take you to know something is and something isn't. Xela list also provides one glimpse into building up such correct thinking indirectly.
There is popularity nowadays of tight stops but i know that it is impossible to catch tops and bottoms. So if you go that route you have continue to re enter with another tight stop. or keep a rather wide stop. here you may also average if you so enjoy it. In a competitive world,it is not he, who is right, that benefits but he, who is a better manager: it is easy to be depressed thinking you are wrong,but in almost all cases you can manage yourself out of it
you may follow my journal but only the recent trades from last day on wards because i have solved some basic issues and now i am trading not guessing i have not disclosed my strategy but i do give some useful tips from time to time. Why have i not disclosed my strategy? there is no secret but i have not done it yet because it will take a lot of explaining to do and i have not found the time. Also i want to show some consistent trading and then if some one asks me i will disclose it here. There are some here who are waiting to tear apart anything that comes into their territory but i welcome that because they are helping me find faults with my system: they are mentoring me free of charge.
It is easy to have a strategy. But it is how you manage the trade, that can turn a good strategy, into a great one. Management is not easy, because a strategy is what you force onto the market. While, managing a position, entails having an in depth understanding of market and all it's indiocracies. no mentorship or book or training can really help you, to get that understanding, in a short amount of time. This has to be learnt , cannot be taught and the time taken to learn is usually measured in multiples of years. ADD TO THIS THAT YOU ALSO HAVE TO MANAGE YOUR OWN EMOTIONS AND INDIOCRACIES. If you consider all this, success in trading , is really a daunting task and it is hardly surprising that 95% supposedly fail at it. only those, who have the emotional and financial stamina, to withstand the ordeals of trading, will succeed. i have never come across anybody that says "i started trading and i immediately was successful" That, no one even attempts , to lie such a thing, shows how unlikely that is This also shows that searching for a better strategy is just plain unrealistic and is another reason why traders who continually read books fail.Books describe strategies. It is also the reason i failed for so many years. I was told by numerous traders here that i was doing things wrong; that technical analysis was bullshit.No one even suggested that trade management may be the issue in my case Analyse for show, manage for dough. this is true in every business.
Actually for me it is the opposite. Remember I said I access the probability of the market getting back to at least BE plus 1 tick for comm on my first entry? Markets have inertia. They tend to keep doing what they are doing. MOST reversal attempts fail. So if the market is trending up, especially if it is doing so in a small pullback bull trend that relentlessly grinds up (that is one of the strongest trends there is), then that is an ideal environment for averaging in to a losing first entry as the ODDS favor price will continue up (without much mae) and not reverse. So averaging in most likely won’t suffer much heat. Naturally the overall context should support averaging in also. For example: Beside the relentless small pb bull trend no strong resistance areas to the left (that price has not broken through) that could affect price reaching a potential PT. By the way in trends like this scaling in to winning positions can work well but a trader may suffer some heat on PB’s (mae). May send an example later in the form of a chart. Got to run hoe the garden. Burning daylight. Getting hot. Reverse the process in bear small pullback trends. Bye
yes averaging in trends is even better:as long as you are averaging a losing, with trend entry. If you are averaging a short move in a bull,then even God cant help you
I wouldn’t want to be averaging in on a losing position shorting for a bear move in a bull trend. Context is all wrong for averaging in. Or averaging in long on a losing position in a bear trend. If anything, scaling into a winning position would make more sense in either senario. However, in some cases I will average in on a short in ranging behaviour if price is near the top of the range or average in long if near the bottom of the range but must be nimble to exit quickly if there is a BO of the range in either case.
what ever you do must make sense to you and technically too.....after that it is management and thinking as the market gives new information.
Thanks for share all this information here , I already thread your day trading journal and would probably ask you specific question later , one aspect that some Wizard Trader advocate is to favour the money management cause without an account you'll be unable to trade , learn to survive and I will probably go with that case, cause I focus more in system .