I am doing demo trading and following the ‘Stop Profit and Avoid Take Loss’ formula which is my own creation. What exactly I am doing in this kind of trading is - I checking out the trend of any currency pair especially majors and placing the trades in the same direction. When the price is moving in positive direction I am simply booking profit by closing trade and placing another order there. I understand I am losing the spread but at the same time I am booking the profit in my account. How do you feel about this strategy? Pipcrawler Pipdiddy or any one else.
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Taking trades with the direction of the prevailing long-term trend is completely viable. It leads to undramatic profits per trade but there are multiple opportunities per trend - there is no great pressure to achieve r:r of better than 1:1. There is also the opportunity of pyramiding your trades as long as its stop-loss is not hit. In a reliable consistent non-volatile trend it is relatively unimportant where you enter.
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More information might be better so people can understand better what you are doing.
Eg. How you find the price at which you enter your trade?
Risk reward ratio?
Timeframe you are trading?
Number of pips set for stop?
Any use of indicators?
Manual or robotic trading?
So difficult to help if you don’t share more information.
How has your strategy performed so far?
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That’s true reliable consistent non-volatile trend is relatively unimportant to enter as long as it keeps going after retracements.
Sure, I’ll go in detail how I am following this strategy. I have completed the school of pipsology one month ago on June 30th and started trading from the same day. So much learning was there in last 30 days. I found entry and exit should be on Potential Points can give you a great plan to trade. Here potential Points are - S & R, TL, Fib Levels, MA, Psychological Points, and most important is intersection of these Potential Points.
So, I am just entering whenever the price reach to a potential point and exit when price starts giving profit of a good amount like 30-40 pips. I am following H1, H4 & D1 timeframes with manual trading only(believe in yourself).
I am following this strategy from last 3 days and created on the experience I have gained in last 20-25 days. This strategy is working really great for me because I have earned almost 850 pips within last 3 days. I just can’t believe how is it working so thought to post here.
Also I use 4 indicators - Stochastic, RSI, ADX and MACD
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Sounds like you are doing well.
If you are exiting on “good amount of profit” why not set your take profit to close your trade for you.
Also don’t forget, sometimes the market will move against you and always have a set amount of risk as a stop loss.
Keep up the good work!
I see this as a viable way to trade.
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Thank you. As long as the currency pair is in trend. In last three weeks i have earned almost 3-4k pips following this strategy. This time it is giving me a hard time as the account is showing a loss of around 3k pips and i am still holding to check if price still follow the trend by Wednesday. Will keep posting