Introducing myself

Beginner Questions
1

Hi all,

I’d like to introduce myself, as I have only just registered on these boards, having only discovered BabyPips yesterday (how come I never heard of it before? God only knows).

Any way, as you can guess, I am an aspiring Forex trader. I focus on the EURUSD and EURGBP pairs, and I try to run a medium term strategy. I mainly pick trades based on support and resistance plays, trying to enter in the direction of the main trend -if I can see one that isn’t fictional that is ;). I also attempt to factor in fundamental data (eg. interest rate differential, news events,…).

Ideally, I’d like to build up the knowledge to run macro plays. Who doesn’t want to trade like the macro global guys out there? To that end, I’d be more than happy to hear about any books/resources that would help get me started (ie. macroeconomics for dummies, fixed income stuff, geopolitics,…).

Before I bore you to death, I’d like to present my first ‘proper’ trade, aka the planned trade. Feel free to give me feedback.

Pair : EURUSD
Amount : 10,000€ (account size : 1,000€)
Price : 1.2830
S/L : 1.2626 (-206 pips)
T/P : 1.3175 (+345 pips)
Trailing S/L : 230 pips

I noticed a strongish S&R level around 1.27, which has seen nice moves after being broken and has been tested recently. As it is a round number, I’m thinking some shorts could get squeezed if prices move higher.

I didn’t enter the trade straight after the resistance was broken as I wanted to reduce the risk of a fake break out. I’m currently ten pips down.

Thank you for reading me,
Helacare

2

i assume ur leverage is 100
used margin 100

if i was you my take profit would be low. as this is first trade i would be more than happy to close it for 50 pip gain. also i would set the stop loss to 100

3

It looks like your risking 20% of your account, that seems a bit high to me.

How long do you expect this trade to last? What do you consider “Medium term” to me medium term is a day or two, maybe a week tops. A long trade is measured in weeks and months, and a short trade is measured in hours if not minutes. We all have different definitions.

With my definition of a medium term trade, your leaving way to much wiggle room, I suspect you will be in this trade for awhile, in which case so far it sounds ok. With an R:R of 2:3.4. With those numbers if you lost this trade, and then one the next your balance would only be 1072. Make sure you keep accurate math. I rounded to 20% and 34% respectively.

@dhoee476, You really don’t need to quote his post, none the less in its entirety when your the first poster to respond, or when your not specifically referring to one thing he said. It just makes the thread more difficult to read.

As far as setting your SL to 100, and TP to 50 that is a 2:1 R:R, that is poor. Not to mention you cant be sure all the details of why he decided to take this trade. He may surprise you he seems to have nailed down many of the details. My biggest concern is his risk and to make sure he understands that he is risking more then he may need to on one trade.

4

how can you give a feedback or any suggestion if some one is hiding all details???

5

dhoee476, Now I don’t know what that is in reference to. You quoted my entire post, what specifically are you refering to? If you decide to quote this entire post, I’ll just leave the issue alone.

helacare, sorry we have ambushed your thread thus far.