Im using the 50 EMA on the 4H to trade. I wait for the retracement on the EMA and then Im looking for entry on smaller time frame.
My question is can any other indicator help to filter the trades with more changes to have a bounce from EMA?
What`s the evarege monthly %, risking 1% each trade, for a decent trader?
Thanks
I find the 50 EMA on the 4-hour timeframe a good solid core indicator. It is quite popular generally. This thread might interest you:
Don’t worry too much what % people are making per month. Its more to do with the capacity of their strategy to deliver successful results. In any case, some traders are using strategies that deliver well for week after week after week - until they suddenly have a massive loss due to an inherent risk factor in their strategy they had not allowed for.
Just pay attention to not losing big.
Thanks for suggesting my thread, SovoS. Really appreciate your support!
Do not rely on other trader’s data. Your trade plan is very easy to back test. I highly suggest you do the back test yourself and determine the answers to the questions you have.
This is looking very interesting. Thanks
I said strategy but i will not buy or sell just because of the signal. I will just use the indicator to scan quickly the market.
I think price action is always the key (in my opinion) but I think for new traders is difficult to find opportunity cause we just don`t have the eyes for it. Maybe an indicator or 2 will just help me a bit to find opportunity quicker and put more odds in my favour.
Many times when price is around the 50EMA if after i look closer is a nice pull back on market structure, but on a naked chart it will take longer time for my self to actually see it.
I just want an extra indicator to help out.
Thanks all for the answer
I don`t want to compare my self to other with % but I think it will make me understand what should be a realist target.
We all know this is not a sprint but is a marathon and some people are better then other and not loosing money is good already but i just would like to know more of the monthly average % of decent traders that`s all.
Market is changing continuously. So, strategy should be adjusted or improved.
be careful what you wish for - additional indicators used to filter trade entries usually increase win-rates but reduce overall profits (because they exclude some potentially winning trades as well as some losers)
just make sure it’s your long-term edge that you’re improving, and not your win-rate! it takes an enormous amount of very methodical research to be able to distinguish confidently between the two, and this is exactly where so many people go wrong
it’s very easy to imagine that “increasing the win-rate must be good”, and it’s important to avoid that flawed assumption
I could not have agreed more to this. I somehow believe that it is important to reduce the losses than to earn profits. This is what a good trader would always endorse.
Absolutely! It is more critical to stop the big losess and I have learnt it a harder way in the past. Surely, all these % can be a booster to trading but it should not be considered as the only parameter.
If you think price action is key, which is also key in my trading, why not add another technique into your price action style in stead of adding another indicator? In my personal experience adding indicators gives less value compared to pa strategies.
Which ones are you currently using?
Just like the professionals, you can view the historic performance of your scenarios. View what to trade on each day to trace your performance over time.
Guys, if you are still using this strategy, show us some pics so we could educate ourselves…