Then I decided that I will short gbp/usd which bounced strongly from it's low with even smaller position (1/2 size). I averaged that trade also and got out of two of them with small profit.
Eur/usd wasn't working. It wasn't in a kind of state that I would reverse so I just let it build against me. I had small gbp/usd trade after news that I didn't cut when it reversed downside break down.
Eur/usd was just hanging and then it broke to the upside. Unfortunately I wasn't prepared for that and I didn't get out, or reversed but started heavy averaging game. I add two more position above 600 and later I averaged with same size like all before. So I started with one position and now I was 8 positions short. I was at like -9R at some point.
It did reverse and I close it all for the +1.9R for a day.
Moral of the story is that I just can't trade successfully on this way. I don't know how to handle it all. I'm simple scalp in and out guy and when I got tide up in this kind of situation I'm on quick road to lose 10-20%.
If I didn't add on position because of greed probably all would be different. But this is not an answer. This is nonsense and I don't want to trade like this.
eur -23, -26, 13, 14, 24(x4) pips
-0.76, -0.86, 0.43, 0.46, 3.2 R
gbp -12, 22, -35 pips
-0.3, 0.55, -0.87 R
day 38 full size pips 1.9R
Posts
6 comments:
I'm not trading. This is not trading but gambling. Waiting until fortune turns when I'm in a loss, that is not trading strategy, that is not trading. That's BS.
Hi FX, this blog is great. I hav'nt been keeping tally, but it seems your results are pretty good lately, although you've been getting away with some CRAZEEEE shit at the same time. How many lives does this cat have?. Like the red line / blue line thing - very clear. I'm curious though where your R would be on this chart - should an R not have triggered on those two early shorts?.
Hey MarcoaA nice to see your comment again.
Your question is in place. R for eur/usd trades was 30 pips so if I chose to have two positions and lose on both of them than I should have take an exit right around that breakout at 12.15. Instead I chose to average. It's like you say drunk to stop drinking and he say no problem and do it again. I obviously have no control.
Well this cat got killed in January and I still didn't recover that loss. This things that I do and get away with lately are ridiculous. Today I thought that I will lose for sure.
I got to change things and change it fast. I don't remember when I had loss last time that it wasn't part of some averaging scheme. I don't remember when I was just plainly stopped out. Funny thing is that every day I come with clear opinion that I should take stops and intent of doing it, but somehow things change....
I'm not really proud of all this and it feels embarrassing to show this stuff around on this blog because I can't call it trading. It's a joke, gambling.
R for gbp/usd was 40 pips. I didn't take stops on it also. It's like absolute noobie trading with no stops.
I NEED NEW PLAN.
FX,
I like the new blog roll, its about time you added some more people.
You and I both know where averaging can lead you to. You got lucky today, other days may not be as kind and you know that.
HPT
Hi HPT. my blogroll is exactly what I read in my feed reader I like those blogs.
Yes HPT I know exactly.
It's stupid to continue with this in absence of a new plan. Now I trade this way just because I want to trade somehow. Right now I'm not emotionally fit for trading. Ignoring stops is as bad as it gets and add to that averaging. Better for me to just stop if I don't know what I'm doing.
It is good you recognize the dangers of what you are doing. Funny thing is, most of the time you will be OK, which will only reinforce bad habits. Eventually a day will come when moves will be fast and furious, with no reversal large enough for the averaging to work. Just look at CHF moves on Friday. It is just a matter of time before you find yourself on a wrong side of a swing like that or bigger. Hope it will not happen to you.
Post a Comment