Ladies and Gentlemen, please advise me as a newbie, how many trades can I take in a day. Whether the market is sweet or not. Help and God bless.
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You can take as many as you want
And the more you take the happier your broker is going to be with you,
If you want a decent answer then I’m afraid you’ll have to be more specific.
Regards,
Dale.
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it depends on your knowledge and experience , on the other hand it more appropriate to emphasis which strategy and money management you have for trading.
market is sweet to some and bitter to the others at the same time. and there is no specified limit for traders per day for beginner, just set your daily budget and stick to it. don’t go beyond that for starters.
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if you’re just starting out, then try focusing on one or two pairs and no more than 2 trades a day. Only look for high quality setups
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Thank for this wonderful advice and I wiil stick to this. God bless.
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Every strategy will have a different amount, I sometimes have one or two, other days 10 to 20, all depends on the market conditions.
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Well it depends on the timeframe I use for trading. Sometimes I catch high volatility with Hotforex on 1M and 5M timeframes making dozens of trades (of course using automated software), in other times I open a couple of trades in a week, when the market lacks opportunities. Just make sure you always set stop loss in your trades.
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all depends on your strategy. But if you have losses dont overtrade and try to win back your losses, stick to your strategy and only take trades that are correct with your required setup
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It depends on many factors, so there is no define answer. First of all, it depends on the nubmer of entry signals, generated by your strategy. The setups you are looking for may appear one a day, or each half an hour. Another point is timefrime. Smaller timeframes would offer you more setups per day than larger ones.
It is also important to pay attention to psycgological issues. For someone could be suitable to make dozens of scalping trades each day, while other trader would rather conduct a detailed analysis and open one swing (mid-term) position, so you should find out what would be better for you.
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The point is how to define correct setup and estimate safe but sufficient number of trades. Trying your EA on historical prices is good approximation to expected trading activity but well it happened to me many times where EA tested on history was making 2-3 trades in a hour while on live it placed trades like crazy. That’s why a couple of first days you have to retain manual control over your trades to avoid such issues.
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I hope you find it and bring success to you.
It will entirely reliant on your trading strategies and your financial facilities. If you can manage there is no harm in receiving and working with simultaneous trades. But traders should not go for any investment opportunity beyond his capacities here.
This is off topic but an interesting issue raised by @ontario
It may surprise some to know that at many unscrupulous brokers: demo accounts are not time critical i.e. they don’t reflect every single price change or movement but rather and average. With not knowing anything else about the EA in question: this could be but one reason for it malfunctioning. It’s also a reason why some demo trade successfully but lose their live account while applying the exact same trading system or methodology as they had been on their demo account (and there’s a lot more to this).
Regards,
Dale.
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Is not about how many trades, is about how much are you risking in total.
Let me give you an example. Lets say that your account is 500.00USD and you open a SELL position on GBPJPY, and lets pretend that your lot size is 0.01 and your stop loss is 50 pips and your take profit is 250 pips.
If your trade touches your stop loss, then you would have loss 5 dollars, which represent 5% of your account. If you would have opened more positions and they all touch stop loss, you would have loss a higher percentage of the account.
Ideally, you should risk 1% or less of your account and the maximum should be 3%.
In conclusion, once you opened several trades, check how much would you lose if they all touch stop loss if the result is more than 3%, you had opened way to many trades.
Personally, I only have one trade open at a time.
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Regarding price feed differences between on demo and live it looks very surprising because two my current brokers Hotforex and Tickmill offer same feeds what can be easily tested. Simply record live data, download demo and build ARMA model which approximates both of time series. They should be roughly equal (coefficients at AR and MA lags). I checked this before developing EA based trading strategies.
That’s fine. Not saying there was an issue with your EA. Just making people aware that at some brokers their demo accounts purposefully do not accurately reflect live trading (except that it’s done in such a way that your average new trader will not actually see the difference and, as I say, there’s clandestine reasons for this). In your case and given that you had checked the data: obviously there was another issue (whatever it may have been).
Focusing on quality of trades over quantity of trades is the quickest way to make money in the markets.
You only need a few high quality trades each month to come out ahead.
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do you mind sharing with us those high quality trades
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Absolutely. I can tell what those quality trades are according to my strategy, trading plan and rules.
As an example I just closed out with very good profit on a short trade on USD/CHF and a long trade about a week ago on GBP/JPY. I also hit my stop loss on a quality set up on NZD/JPY as losses are just a part of business. The key is that loss was very small in comparison to my two winners. so far I am in good profit with no current trades open. With my risk management I could lose the next 2 trades and still be in profit.
Now the real question is what is a quality set up according to your strategy, trading plan and rules? Take that trade.
You may lose the first trade and the second but if your strategy is good and your money management is tight if that third trade is a winner it very well may put you in profit.