Hey Peterma
First of all thank you so much for sharing your valuable experience with us here.
I’m agree with you opinion but the thing i didn’t understand was that Do you sell when the news show some bullish signals and buy when they represent bearish signals?
Or maybe you do the old saying like buy the rumours sell the news
Bro Trendswithbenefits
I guess the video you shared with us was one of the Best videos of all time about trading . Actually nobody tells things like this at the beginning of a journey and you masters who share good information are pretty rare and unknown
Thank you again if you know any other else useful piece of information please share it like that.
Hey Themighty J
Thanks for replying.
Well I’ve seen people like that who claim to earn that much but that seems to be unrealistic for amateur trader to earn that much just like after 5 or 6 month of getting into market
So where is psychology, where is journaling and experience.
I guess they usually have super good mentors
Sorry if this feels a bit rudimentary, but the basics are best:)
The indicators you see come with every platform I know of. They are the 21, 50 and 200 Simple Moving Averages (sma).
Take a look at the right of the chart. Do you see how the candles keep getting smaller while bouncing off support and then cross it going down? I would have set a sell-stop right there with the open set to 1/2 of the high/low range of the trigger candle.
Why? Simple. Confluence!
-
All sma are in descending order and curving down. That’s a very powerful set of confluences!
-
For most of what you see, price tested the support very often, lost steam just before the sell-stop.
If you’re being conservative and using a 1:2 R/R ratio, you would’ve pulled 2% out of thin air in less thanan hour. If you would’ve let that puppy run, well, that’s at least 6% for a days work!
What I just showed you is the skeleton…it works well enough alone, but if you beef up your entry, maintenence, and exit rules, you have yourself a strategy that will knock financial worries on the head!
So, yeah. 10% isn’t really all that hard.
Well, everyone who got funded with Prop Firm done 10% in a month (or actually 100% if the truth be told), but they done so generally taking outsized risks that they would not take with their own real money…or even their own prop accounts after they got funded, and for very good reasons.
To be honest, I had no mentor.
I did the trial and error thing on demo for a couple of years. There wasn’t as much content as there is online now.
Success in forex comes not from the perfect system, who you know, the perfect EA or anything else along those lines. These things help alot but before they CAN help, you need to develope patience.
Patience to wait for all the backtesting proof that your strategy works. Patience to wait for all your signals to kick and confluences to be met. Patience to exit at the right time and not too early or too late.
The psychology is a different matter entirely. Recall something you did for the first time…one of those things you weren’t sure you could do. Do you remember the feeling you had? I’m betting most if not all traders get that feeling. It went away though, right? Now you’re good at that thing you tried. More to the point, you’re so good that you can do that thing in your sleep!
You’re going to go through that with trading too. Trade on demo until it goes away to build your confidence and do it all over again when you go live.
Burn out the fear, greed, indecision and all the other emotions and all you’re left with is logic!
BURN IT ALL OUT LOL
Some people are risky. The percentages I gave in the example are with a 1% risk
But what about the moving averages on the 30 minute, they would have likely gave you at least a couple of false signals that would have got you stopped out? Or if you were looking at the 4Hr chart, perhaps you wouldn’t have got a signal at all. You may argue, “ah, but I trade the 1hr chart”, but I would say to you “the market doesn’t care what timeframe you trade”.
I look at that configuration and I could think of plenty of situations where the market would just b1tchslap anyone hitting on a break of that level as well as some situations where it might work. All depends on the bigger picture. When you get more experienced, you will learn that any given setup in and of itself isn’t worth a whole lot. It is knowing when to use it…and even then, like any trader (apart from Nancy Pelosi) you are taking a leap into uncertainty each and every time, with constant uncertain outcomes that will surely keep your 10% per month well suppressed.
Or maybe I am wrong, you are right, and you are set to turn a small account into over 1 million within 5 years?
I know 20 people right now who used a strategy very similar to the example I gave you. All of them used 1% risk to pass challenges at various prop funding companies. All of them passed.
The 10% rule is there as a bare minimum. If you can’t pull that much in a month, it means your emotions aren’t under control. It’s that simple.
Yes, it’s hard to get them under control, but until you do, you have no right to play with someone else’s money.
I’m not trying to be mean. It’s just the way of things. Money and emotion come from separate worlds. When you mix them together you get disaster…or a mutant that melts people and sucks them through a straw!
The Prop Firm who I am ‘funded’ with, have a pass rate for their evaluation period of just 8%. Of that successful 8%, over 70% lose their accounts within 3 months. I quoted “funded”, because FTMO traders aren’t really trading the markets. They are trading demo accounts, with FTMO meeting any payout obligations with the fees generated by failing evaluation traders. I would imagine that only a tiny slither of funded FTMO traders make it onto their ‘A-list’, where FTMO actually take their trades with their own capital.
From what you so confidently assert, you are well within that tiny little narrow band of consistently profitable traders, whose accounts FTMO would have their auto-executions bot hot wired up to for sure! That would effectively make you a world class trader. Like the best of the best.
You are actually sitting doing a comfortable 10% per month, each and every month yourself, right? This isn’t just ‘traders that you know’ doing these sort of returns, without any kind of drawdown in sight?
I guess what you @MatDerKater and what @TheMightyJ say can be both correct I’m agree trading (and being profitable ) is so complex and sophisticated but the edge which arise by the Trader’s personality can be soo determinative. I think a good trader with a normal simple strategy and plan can make income but a bad trader (lost in emotions) with super good setups can make a disaster because he/she wouldn’t be comitted to the plan.
This is just my opinion i may be wrong but this is what I’ve learned recently and i saw it is right so far
Let me preface this statement. I’m exact with my language.
I said a friend of mine gets no less than 10%. The keywords are, “friend” and, “no less”. Is it more clear now?
Oh and feel free to call it what you want, but 3 months of 10% just means you’re consistent.
world-class traders in forex make 10% per day, not per month.
The prop funds wait until you’re consistent and copy-trade after that. how do you think they stay afloat? With sign-up fees? Do the math.
When did I mention I had no drawdown? Everybody has drawdown. I scalp and there are plenty of days I get some drawdown. More than 90% of my days are net positive and my drawdown is always less than 1% when it does happen.
I guess what it all boils down to is you know what you know and I’m the same.
Good luck in all your trading.
Here’s one day of trading using my strategy.
That’s on one of my smaller accounts ($50000).
You do the math. Pull up the chart and match where I traded.
Talk to me then.
one more thing…you see the losers? 4 out of 5 of those were mistakes. That’s emotions for you
1 Like
@TheMightyJ well I’m sure you are a good and experienced trader and I’m not a critic of your trading plan. But about being emotional. In a system a problem can be systematic (the strategy has problem itself) or non systematic which the operator has the problem since no-one would put problems in his startegy so most of trading faults are non systematic or emotional by the traders.
So you are risking 1% per trade, so around $500, which explains why your max losses are around this level and your average winner is around $120, which means you are operating an inverse RR system.
I have always thought that there might be something in that. I have it drilled into my head to aim for 2:1 or 3:1, but the bottom line is if I just shot for 0.3:1 RR, then I would almost never be wrong, and I would take a lot more trades. Mind you, that is a sh1t ton of trades to be taking in just one day across various markets. I would be quite exhausted from that.
I am guessing that this is a particularly good day for you. Way more winners than losers, but because you are risking ~$500 per trade and coming out at no more than ~ 0.5RR, the $898 profit for the 27th October, works out slightly sub 2:1 RR for the day.
I wonder what a bad day might look like, and I am 100% positive that you will get them.
…and…
I wonder if I could scroll a little further up that screenshot, whether I would see a ‘LIVE’ or ‘DEMO’ moniker next to the account number.
The thing about a strategy is if it constantly fails it means you’re not finished putting it together yet.
It’s been my experience that the only difference between back-testing, forward-testing, and live is the spread. If it works in the first 2 categories but not the last, you either have an emotional or psychological issue that still needs work.
I’m doing no such thing. Those big losses are me not obeying my algorithm (which I could swear I just said). Nobody’s perfect.
These trades are all just a few minutes long, or even less.
Do you not have a bot trading those for you? How do you keep up?
Takes me around 2 minutes just to size up my Entry, TP and SL…and I am using CTrader which calculates everything automatically.