Well, some time since I posted here. That does not mean I stopped using the methodology, only it is slow and take patience and time.
Right now I think I found my honey pot, where I’m placing successful trades. My account, the one that I’m using to test this strategy is growing again after a big drop. It is too soon to say victory, but it seems that my additions to the methodology are helping me avoiding non trending markets and taking trades with the trend.
It is “easy” strategy… well, that is easy to say, but difficult to follow, because requires LOTS of patience. It does not require too much time, indeed, you can trade once a week without a problem, and let your trades run for weeks without checking them.
The problem seems to be that checking them makes one do stupid things, like moving stops faster than required, opening trades where there are not enough conditions, and taking emotional trades.
A lot of work at my job seems to help my trading hehehehe, I place my trades (with stop and target), and forget them for a couple weeks, and when I check them again, the losers are out and the winners are running or already took the target. Reward to risk ratio of 3:1 helps, and also helps me to size my positions because I define initial stop at the beginning.
When placed with patience, the trades seems to work and generate the reward. When placed on not so good setups, they usually fails.
Isn’t it the story of us all? You come so close to true success, only to be humbled before your ego runs away with you. I am very thankful for that in my life and it has lead to sober reassessment of my trading. And best of all, every time after a period like this, I come back stronger.
Looking forward to hearing more from you again, medisoft!
Dropped back in to say hi and I have my first live account going. It’s only small but hey gotta start somewhere.
Using my version of MG99’s methodology for just over a month now and I am doing ok. 50/50 win/loss but am up on my initial deposit.
Looking forward to gaining more confidence and picking only good trades. To be honest it does feel good to be with a trade running in the right direction.
Hello everyone! I found this thread about a week ago and started reading it. Only got to page 68 yet but it sure is good reading. I am new to trading Forex and had been looking at different indicators and trying to find a system that suits me. I had initially bought a “system” ( I know, my bad) and was in the middle of learning it when I came across this thread. I have to say that when I started reading MG99’s posts something seemed to click. I have come to think, right or wrong, that one of the most important aspects of achieving success at trading is the correct mindset and overcoming the psychological pitfalls that we are all victims of. It is hard, for me anyways, to not get caught up in these traps when trading shorter timeframes with fewer but larger R/R. I like the idea of longer timeframes and what is to me more of a “portfolio” approach where one bad trade doesn’t ruin your day. I found that for me the thought of hitting the motherload of a trade was enticing and it was too easy to think I knew where the market was heading and would make risky moves instead of following the “system” that I was supposed to. A few days ago I opened a $5000 demo account and as of today I am up several hundred pips already. For me, an eye opener was when I took a good look at other investments and the actual daily return and realized that I don’t need to shoot for the moon to out do almost any other type of “normal” investments. All I need to do is try to achieve overall positive results on a consistent and regular basis and I believe MG99’s approach is the way for me. Thank you MG99, I think you saved me years of frustration. For those who have been using his approach from the beginning, how are your results after the first year? TIA
Risk/Reward. I has been “right” on my entries ton of times, but I also been “wrong” on my exits almost the same amount… why? I think is because I had a risk/reward ratio wrong.
I set my stop loss at the start of my trades always, because I use it to get my position size. And I want to get always the same reward for my risk, about 3 times the risk. Today I found that I’m wrong. Depending on the entry, some trades can render only 1R, while others can get more than 5R, it all depends on the trend strength and the place of the entry.
So, from today I’m using different risk/reward for every trade, if my entry is at a place that has lots of room to move, I will use 5R, and while my trade action space reduces, I will reduce my reward up to 1R.
One question: There are pairs which move generally in the same direction and others which move inversely, do you take care about currency correlations? If not, you might be doubling your risk. What do you mastergunner99 think about currency correlations in your method?
Thank you very much for sharing your method with all of us!!
I don’t understand very well how much room do I have to allow to my trade.
You say “at a level I would feel would be a blatant area where I know price disagrees with my assessment” and you also say your average stop loss is 93.26 pips… So could you say that you close your trade when is 100-200 pips against you??
Thank you very much in advance!
to stay consistent means learn when not to trade - it the condition people need to learn, because I see people even have good well builded strategy and tested already, but they get confused when market is just too risky to trade and not enough active
I think this portfolio methodology can really complement almost every other type of strategy, even if you’re not using Price Action to look at individual trades.
Hi everyone.
I want to revive this thread. It is old. I’ve traded this way last year, with some success, and with some losses. Found some things wrong, with MY way of doing it that is. Then I went on to something else. Been getting much much closer to my style of trading lately. But I have always had this methodology in the back of my mind since then. Now, I have been rereading it closely. There is some good stuff here!
I wanted to bring it back up for a couple of reasons. One, for those brand new newbies (who keep on coming day after day), which is amazing how many of you are trying your hand at this. I just hope there are many of you who are sticking to this journey. Anyway, I would like people to read this and can try to get an edge in the market. And MG has definitely gave us some good opportunities for an edge.
Second, for any of you who have tried this methodology, with your own way of particularly trading it. Had any success? Still are trading this way? Tweeked some things? I would love to start talking to you who are.
I don’t have a lot of time now, but I plan on talking about what this thread is all about. Trust me, there is some very good stuff in the beginning pages. Also, our genius Clint has added some incredible stuff also.
I’ll be in touch here.
Read on if you haven’t. Some real gems inside.
Mike
I guess that by now you probably know what does it mean.
It means that the market is open non stop. This is not exactly true because on weekends it is closed. It closes on Friday once NY closes and opens again on Sunday (or Monday, depends on where you live) when the Asian market opens.
But apart from that, on week days it doesn’t stop, because by the time NY closes the day Asia is already open for the next day.
Well, actually the market is always open and being traded. For all of the brokers in, sure, that’s when it closes and reopens. But the banks are conducting business throughout the weekend. That’s why there will be a gap sometimes.
And another point to be made with the 24/7 statement is with this portfolio methodology you will pretty much (but not completely always) be in the market. Meaning your probably in with the trend, and therefore there’s someone trending at some point. The portfolio will always change with the amount of trending pairs.
The key to it all is trending. And we need to realize that “trending” is relative. You can put on so many different glasses and see trending pairs. Outside to in there can be many or few. It’s a matter of perspective. Therein lies the key. This market does have many trends. Just look at a monthly chart, zoomed out. You can see a lot. Then look at a weekly chart. Trends won’t be as many but they are there. Etc…
So, you have to trade accordingly to the time frame.
Well the thread is pretty quiet but I’ll add a bit.
I have been trading this in demo for a few weeks with decent results so have decided to go live.
I’ll be trading a $5000AUD account with a link on Forex factory same username.
I use weekly, daily and four hour time frame to make the decisions, absolutely naked charts.
27 pairs. Every cross available on my feed on AUD CAD CHF EUR JPY GBP NZD USD
For a start all trades will be .1 units I’ll massage it as I go to get the required risk
there is a current open long term trade in the account for 100 OZ silver in the red about $60Aud
these are the pairs and my view of the direction .
Ind is indecisive.
PB is in a small pullback against the trend
Mid is returning from a pullback
Unconf is needing to past the last swing high or low to confirm direction
The PL Points is the current position in the Demo account in 1/10th of a pip EG CHFAUD is 856 points or 85.6 pips
unfortunately I can’t take them with me
Position is the current trade in demo. if there is a note to close the position a SL will be placed a further 125 points against the trade to let it make up its own mind when to trade me out
SL to break even at 750 points. Trailing SL at about 1.5 daily range from 150 Pips (1500 points)
Well a week gone And my account has grown so its a good start.
1st day or two was a bit rough. some of the entries where not in a real good place but they where
showing promise in the Demo and I entered market open Monday 25th.(or sunday PM if you are in the US.)
There was a lot of gaps in the market from the weekend and most of Monday and Tuesday was in the red
while the spread was covered and most retraced to close the gaps.
I placed half of the trades at .03 instead of .01 due to a brain fade so I had to go back through and tighten stops to keep a reasonable drawdown. Maximum calculated drawdown if all crashed was 60%. average of 4.5% per trade. The maximum drawdown I saw was 19%.
The tight stops meant a quick looser on GBPCAD for a 4.5% loss dived straight back in at .01 and it closed again on Friday in profit on a stopout.
[B]ADDED[/B]
I have no idea yet what the [B]R[/B]isk to [B]R[/B]eward will be as I will not be leaving a Take Profit stop on the trades,
although I may put one on at times of increased volatility to grab a spike if it happens. As long as the balance and equity keep growing I’m Happy.
If anyone is reading this and is interested I can post my full results and trades for next week if you reply
[B]results [/B]
Increase in balance 2.17%
unrealized profit 13.8%
profit for week 17.7%
Lets go grab some PIPS
John
Amazing thread! Laughed my head off after the first 5 pages. Is the original guy still here? Well it is how trading should be done on a risk reward basis. So bravo for sharing. Worth keeping alive from another swing trader.
Adding to winners and cutting loosers, etc. Nice to see some talk about real trading. Well done for bumping this up.
