When I trade I am always looking for confluence. That makes the trade a more higher probability of winning.
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wining percentage depends on your trading conditions , we the traders should choose the trading conditions which is more appropriate to the concept of trading that will be used.
Winning to loss ratio is important too. Your wins should be at least double your losses.
Hi, how long you trading?
There are lot of common mistakes every trader do when they are new. I also did the same. Like opening trade position before big news events and after the news events. Opening too many lots is another mistakes. Risking more than 1% of the capital is also a mistake. Another big mistake is unrealistic expectation. We come here to make double, triple of our capital over night. But it’s the biggest mistake one can have. We also make mistake in choosing broker.
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Over 8 years of trading Forex
so you should know that, even 40% win trades in strategy with good money management can give you profit in long term.
Yes. I know. As long as you have a profit to loss ratio of 2:1.
Probability of winning depends upon your trading style and a proper backtested strategy.
I never use back testing because I find it to be misleading. I use my years of knowledge and price behavior on long term charts.
it does - adding more indicators and entering trades only when they agree will always increase win-rates, but usually at the cost of reducing overall profit, and it’s very often a bad thing to do
“confluence” is widely misunderstood and overrated
including in this thread, sadly
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I agree with that. Rightly or wrongly, the way I look at confluence is this:
A dictionary explanation of confluence describes it as: “a situation in which two things join or come together”
In the trading environment this does not necessarily mean having two or more chart indicators, which are designed to show the same thing, and then just waiting for them to agree. That just suggests relying on multiple sources to patch up a lack of confidence.
Ideally, every element put on a price chart should have its own unique and specific purpose. And each element is an individual piece of the jigsaw puzzle which, when put together form a picture with a synergetic effect.
Synergy: “the interaction or cooperation of two or more organizations, substances, or other agents to produce a combined effect greater than the sum of their separate effects.”
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