This is some sort of deja vu. A couple of months ago there were some news that turned my demo trades red. Now the same has happened to some of my live trades. I swear I have not paniced now, but I'm still not in such a mental mode that I wouldn't feel a bit bad when seeing this. My only open VS trade went to loss, an RTS limit was hit without any sign of reversing and a stop was hit in loss. But I haven't closed the open ones yet, as the systems haven't told me that, although all of them are showing red right now. I could have avoided the biggest dip by not placing the RTS limit on a news day for that pair, but that's just being after-wise.
In the meanwhile, I wrote down the Beginner's Trading Laws of Nature that I somehow felt in place right now (well, the tongue a bit in the cheek..). Now I have these systems in real test. Let's see what happens.
J.
Edit -- Ok, I got a link violation by linking to another post of mine in this forum. Didn't know that that is not allowed, sorry. I thought that that would work as well as linking to the same thread. So here it is in the good old way:
- Your first live trade will yield a profit.
- Your next n live trades, where n is a big integer, will yield a loss.
- Once you account balance has gone below the initial deposit, it is impossible to reach the initial balance ever again.
- The bigger the size of your position is, the more probable it is that the price will go against you.
- If the price of a pair is ranging and you try to predict the direction of the next breakout, your prediction will be wrong.
- If the price of a pair is trending and you try to predict the turning point of the trend, your prediction will be wrong.
- If you try to jump on a trend, the trend will turn almost immediately.
- If something unexpected takes place in the market and you panic, all you can get is loss.
- If something unexpected takes place in the market and you don't panic, all you can get is loss.
- If you have a limit position produced by a system and there is market news coming, and you are not prepared for the news, your limit will get executed and the trade will invariably go against you.
- If you have a limit position and there is market news coming, and you do prepare for the news, your limit will get executed and the trade will invariably go against you.
- If you have protected your position with a stop and there is market news, the stop will be hit, after which the direction will immediately turn.
- If you have not protected your position with a stop and there is market news, the price will go against you until you finally decide to act reasonably and close it and take the loss - after which the direction will immediately turn.
- If you try to circumvent the previous rules and do just the opposite, your action will go wrong.
Only when none of the above holds for you, you master the zen of trading and may expect success.