With at least 1:1.5 rr and for daytrading?
Like focusing on SnR bounce only or chart pattern like wedge only?
Please share your knowledge if you have found it
1 Like
i think there is no trading strategy which can ensure 50% accuracy for all time , according to me, its all about any trading strategy result short time approach , nothing permanent.
1 Like
Focusing on s/r to give you entry direction and entry zones will get you in the correct direction on more than 50% of occasions. The use of a pattern such as a wedge or double top or double bottom on top of looking for price respecting these same s/r levels will give you correct entry timing on more than 50% of the time.
The r:r is another matter its impossible to generalise as it is dependent on the price structure at the time of the individual specific trade.
Bear in mind that a decent technique like this might only have correct direction and timing a little better than 50%, maybe 55%. As high as 60% would be outstanding. But that’s a good edge for trading.
2 Likes
There are many strategies that will give you almost 70% accuracy.
BUT successful trading has another most important component: Risk reward ratio.
You can have a strategy that is 90% accurate and still lose money and you can have a strategy that is 30% accuracy and still makes money.
so if you risk $1000 on a trade only to make $100, you need to be right 90% just to break even.
What that means is let’s say you have made profit ten times in a row. You had one loss and you are back to square one.
On the other hand, if you risk $100 to make $1000, then you can have nine losses in a row of $100 and one profit of $1000, you are back in profit. That’s 1:10 risk reward ratio. You only needed to be right 10% of the time to break even.
So don’t focus on the strategy, focus on the risk to reward ratio to stay ahead of the game.
2 Likes
its a good calculation , appreciate
1 Like
All strategy which are used have risk ratio which can be maintained if you have proper knowledge of risk and reward of that strategy so I believe to maintain accuracy you need to expertise yourself in the strategy you are adopting.
I can’t say that there is exactly one strategy that will consistently generate income. Most often you need to combine them and apply them in time to achieve results.
Not all the products in our portfolio have the same profitability, nor the same potential. That is why we need to make strategic decisions about our product portfolio, in this way we will be able to prioritize the investment of resources depending on the importance of achieving these over the marketing objectives that we have set.
To make the strategic decisions about the product portfolio in a correct way and start working on our marketing strategies, we can use the McKinsey-General Electric matrix, also called the attractiveness-competitiveness matrix. First of all and depending on the number of products that we have in our portfolio, we must decide whether we will work by products individually, grouping them by product lines or if our portfolio is so broad that we must work dividing it by business units.
The McKinsey matrix is ​​made up of two axes. In the X axis we find the “competitive position” while in the Y axis is the “market attractiveness”. In the axis of “competitive position” we must assess the ability of our product to compete against other options on the market and classify it in one of its three quadrants: weak, medium or strong.
On the other hand, in the axis of «market attractiveness» as its name indicates, we will analyze the attractiveness of the market in which the product operates, and later also classify the result in one of its three quadrants: low, medium or high.
Undifferentiated Strategy: despite having identified different segments with different needs, the company chooses to approach them with the same offer, to try to achieve the maximum number of possible clients.
Differentiated Strategy: we target the different market segments that we have identified, but with a different offer for each of them. Although this strategy has a higher cost, it will allow us to satisfy the specific needs of each selected segment.
Concentrated Strategy: we will only address those segments that demand said offer with a single offer, we will avoid distributing our efforts in other segments.
Thank you for this info, I’m glad that I found this community!
of course if for what if the idea is to help us and take each other
Do you use a setup that gives a good risk reward ratio?
Bollinger bands and RSI are the good strategies. The result will not be the same for every person using it. It depends on you and how the strategy works for you.
i do not think so.
there is not one single basic indicator that will give to you success.