This is not a Holy Grail (Simple Method)

[topgun]

I love trading the GBP/USD but I constantly have this problem. It will move 30 pips in my favor so I use my trailing stop and wham, im out of the trade and miss the next 60 pip movement . If I use no trailing stop then it reverses and I break even because I always move the stop up to cover the spread. Let me know if you have any luck using mulitple lots because I might give that a try. Atleast you can lock in profit by closing one lot, but then you cut your pip value in half for the rest of the potential move up. I think money management is one of the hardest things to master in FX.

Originally Posted by topchess

I closed demo trade at 20.7 pips for the experiment.

This might be wrong decision why? It can go in my favour more. but until we find a strategy to protect max pips and give away minimum loss, we should be happy with 20 pips for a trade. (some trends last until 100 pips)

[topchess]

Money Management is indeed the hardest part.

You do not want to trail your profit then miss out a major move in your favour.
But also, it does not look good to see 20+ reversed into 20- during day.

The challenge, biggest challenge. You can't be perfect with setting up these.

What we will do?
GBP is a big mover. We have to limit our loss.

I suggest using multiple lots or trailing stop your lot.

example:

open 2 lots, and set tp 20 pips for 1 lot. lock in these pips.

trail the profit on the second one or stop it at no loss if it didn't go in your favour.

or use 1 lot, but this way, if price went your favour then reversed totally..then moved again in your favour, you gain nothing.

I am trying to do some modifications to make the method so simple, and will share it when it's done, I will demo trade with lots today and find out.

[jonjon5000]

Here's what you need to remember about setting stop loss to break even:

Yes you will be stopped out and then see your (former) trade work out beautifully many many times. But, how do you know it just won't go against you if you didn't have that stoploss there? Plus, you can never go wrong with having only winning/break even trades.

I wish for myself that every trade I went into was timed right so that I would be in the money a few minutes later and that I could lock in my stoploss at slightly above break even. Worst case scenario: 100% profitable trades, many small profits. Best case scenario: 100% profitable trades, many huge profits with stoplosses following at a distance.

It doesn't get better than 100% though!! And the better your entries (timing-wise), the fewer times you get stopped out at breakeven.

[topgun]

I agree with you 100% on that I will work on using multiple lots and try to perfect the timing to increase profits but one thing is for sure I will never not use stops.

Originally Posted by jonjon5000

Here's what you need to remember about setting stop loss to break even:

Yes you will be stopped out and then see your (former) trade work out beautifully many many times. But, how do you know it just won't go against you if you didn't have that stoploss there? Plus, you can never go wrong with having only winning/break even trades.

I wish for myself that every trade I went into was timed right so that I would be in the money a few minutes later and that I could lock in my stoploss at slightly above break even. Worst case scenario: 100% profitable trades, many small profits. Best case scenario: 100% profitable trades, many huge profits with stoplosses following at a distance.

It doesn't get better than 100% though!! And the better your entries (timing-wise), the fewer times you get stopped out at breakeven.

[blackcotton]

It's a Java based application from Oanda FX game (for demo play).
Very recommended.

One more thing, is there a way to save the chart, not to prepare it newly everytime after every logout out of the system?

[topchess]

You can save template as whole, which includes the chart. but you can't save multiple charts I think.

[blackcotton]

Got 61 fresh pips with the method, tho I traded e/u!
I had a day off so i monitored all the "stops and takes" manually!

[topchess]

Congratulations, share losing trades as well !

[topchess]

I will modify the method (minor modifications), for everyone. Please recheck the first post

[topchess]

Yesterday signals in a picture.