andrewcz wrote:im also interested in this topic and hence are going to provide some advice on how to frame it.
this is not quite as simple as just a heads and tails argument as risk in itself has more parameters that should be discussed.
so in a trade there is -
an entry
an exit
a size of a position
now essentially in a heads or tails argument you have 2 choices..lets for argument sake say you take the position of a trend so what ever the last candle happens to be.
now what the key here is ....is the stop loss calculation in comparison to your leverage and position size relative to your overall amount trading...
this is the key factor....so i suggest a calculation based on volatility and of some sort to organise the position..and hence make it dynamic on a couple of pairs in order to have a choice...
to volatile and a large stop loss and were finished....
thoughts all:):)?......
Hi andrewcz........thank you for your interest in the thread....
I agree with you 100%........I am trading 1 lot since we have a balance of $73000 witch is logical...and conservative....I know that the value of EUR/GBP is higher on 1 lot than the EUR/USD.....but since I am trading conservative I figured to concentrate for the moment on the MM(SL.....or multiple SL'S) for now....but you are very welcome if you want to implement that ideal for position sizing .....
Also for the volatility of each pair I am using the ATR at the moment (as a starting point) I am open to ideas......