Wednesday, February 25, 2009

I'm out of the ideas

After good start and nice little trade that gave me 10 pips I got stuck in eur/usd trade that started chain reaction. I "couldn't" stop myself out. So I went long gbp/usd because eur/usd was going up and I was thinking that gbp/usd will be faster. That didn't work. I somehow exit eur/usd for -15 pips loss but now I was negative in gbp/usd. What will I do? I will average. After first I averaged with double size. I close all that at -45 pips x 4 positions = -180 pips. I close it just so I could start trading gbp/jpy which is faster!!??
Well I opened 4X position long just two minutes before big fall came. My first thought was "Why I didn't wait to see in which direction market will go?" I was just helpless in that trade watching it fall 70 pips against me. I had open loss of -330 full size pips, so about -500 pips for a day or 26% from where I start my day. It did recovered and I exit it at just -8 pips x4. Now I was -220 pips for the day. I had one more trade with 4x size in which I recovered 100 pips.

So end of day at -120 pips. It's nothing compared with -500 pips or who knows how much more.

This is just report of the facts. My idea of seamless transition to good trading fall apart miserably. I don't know what to do. If I "can't" take stops how will I trade? How can I after 10 pips win try to avoid small loss of -10, -20 or -30 pips and end up in -500 pips loss? This is like SF movie.




10 comments:

ORION MACHINE said...

wow... the drawdown was crazy and you actually recovered most of it, that is even crazier man.

I am still in my funk so I am trading way smaller right now when and if I trade...

FX said...

Crazy is a very good word to sum it all up, but I'm not crazy person. So from where all this craziness come up?

MarcoA said...

OK, this is going to sound harsh. So many folk talk about their inability to master this 'stop business' as if it were some kind of Everest, and yet they're dabbling in the markets anyway. If you don't have this primary discipline, you have no place in the market. Firstly, its not Everest, it can be mastered with lots of repetition and correction just like any thing else - devise a routine whereby are forced to take small losses over and over until losing is no longer linked into your ego. Secondly, mastery of stops will not make you a successful trader. Don't make it out to be a bigger hurdle OR a bigger prize than it is. There are other challenges to be faced which you will never encounter, if you stay muddling about with the very first one. Conquer it and move on to the next.
Ouch.

FX said...

It's not harsh. I put here my stuff openly so I invite others to be open as much as they can or want. You put it all very nicely. I understand what you are saying. It makes all sense that I need. Well yeah, I don't have place in a market if I can't get over this basic thing. Yes, losing is linked into my ego and that's why I don't want to take a loss.

Thank you very much on your comment.

4x For Life said...

Hey I noticed i am not on your blog roll anymore? I am the guy who took your money today fx sorry

FX said...

4x don't spend it in one place :D

I noticed also, but I didn't take you off from blogroll. Now I checked and I guess that you have some problem with your rss feed for your blog. I also can't put rss feed from your blog in my google feed reader.

4x For Life said...

I tried to fix it, hell i thought i was thrown out of the club:) I added orion to my blog links as well i hope hes cool with that? Let me know if it does not work ok.

ORION MACHINE said...

its all good, thanks for the add bro.

Anonymous said...

Don't average down, you idiot,if your trade have is unlikely to work at the first sign, then why it will work then?

FX said...

:P