hey do you guys think a good trading set up makes a trader trade better ??
It can do as long as it is backed up with a set of rules that you follow as discipline is key
Good trade setups are very rare. So if you take a setup that you belive is valid it then is all about how well you manage that trade.
Therefore what makes a trader trade better is understanding trade management.
What I believe is the best trade setup is a setup where you have to deal with as little drawdown as possible.
My motto is if the trade is not going to work then I want to be out of that trade with as small a loss as possible.
A trade set-up is a term describing a long-term development in the price chart, in contrast to an entry signal, which can be a sudden and unpredictable incident. If you like, set-up is a process, entry signal is an event.
So you can define your set-up and only take trades off entry signals which comply with the rules of the set-up. A classic example would be defining an uptrend and then taking buy signals but not sell signals as long as the set-up lasts.
This approach has several effects. Trades that comply with set-up rules are less frequent, have a higher probability of gain but a lower possibility of very high profit. Trades that are simply taken “blindly” off entry signals without regard to set-up are more common, have a low probability of gain but a higher possibility of very high profit.
Either approach can be profitable, both can kill you.
As long as the setup isn’t over complicated to the point of being useless it can be helpful. I don’t spend much time on this at all.
Yes because 90% of trading is waiting. Trading opportunity appears when certain conditions are met. If you don’t follow your rules you can’t say if your rules work or not because you don’t bother to verify them. In some way it is trials and errors process, following a trading setup basically means you test your system and get valuable results which you can analyse later.
I’m taking a different approach to your question and guessing that you meant, “hey, do you think I should trade from the breakfast table with my laptop, or maybe I should get a giant monitor and connect it to my laptop, with a desk and room to take notes. Like a dedicated desk for trading. Big monitor means big charts, and trading platform and trade journal, all on the same screen”.
I say get a giant monitor and a comfortable chair!
I don’t think your trade up setup make any changes. I trade with through my PC but still loose money
Yes, of course, trading setup can make a trader a lot of profit. Trading results always depend on your decision. If your decision is good, then the result of your trade will be good. Many people have been successful in trading. The decision behind their success was very good because they have got success. If you want to succeed in trading, you have to follow the plan. And never be disappointed with trading by following the trading rules.
So what is happening that is causing you to lose money??
What you are saying here can be summed up in one word. “PROBABILITY”
Most traders think of risk reward and only risk reward. Not many traders think of the third variable in trading and that is “PROBABILITY” What, expressed in a percentage formate, is my chances that this trade will be successful. Fifty fifty, 60-40 70-30 etc.
It matters naught if you have a risk reward of 2:1 3:1 etc if the probabilty of that trade being successful is only 20-30%.
When you take a trade someone else is going to take the opposite side of your trade and given that it will be most likely an institute, you have to ask the question why would someone take the opposite side of my trade if they only have a 20-30% chance of winning. After all you are competing with some of the smartest minds in the world. Institutes have all the bells and whistles at their disposal to assist them in making very well informed trading decisions. That’s why trading is so hard for retail traders.
What most traders don’t realise that in order to get a higher probability of success they have to sacrifice some risk reward.
So you see that there is more to just looking and finding a setup. A setup is just that a setup. It doesn’t automatically guarantee you a successful trade.
Hope this helps.
Take a setup that is valid to well you manage that trade.
What’s your current setup?
How long is a piece of string. There are many setups with multiple reasons for entry.
I was asking the OP. He/she hasn’t told us anything about the original question.
I think it is a rhetorical question. I don’t think he or she is refering to any one set up or even their personal favourite set up. Just any set up in general.
I may be wrong but that’s the way I read it.
You’re probably right. Not much action coming from that dude, but the question seemed a bit vague to me based on another thread @raypaips started. No worries.
Agree. I thought it was maybe a trading station related question lol. But I could see it referring to an actual trading setup also. It’s been 2 weeks, where is OP to help us solve this mystery
Getting that 2nd monitor!
Yes, I agree, we should do more of what works and less of what doesn’t. We are paid to be disciplined. The rule of thumb is that discipline equals increased profits. Knowing when and when not to trade is crucial. Sometimes, not having a position equals having a profitable position.