The Captains Chest - Naked Trading & Other Stuff

[Captain Jack]

Nice trade but you missed all these stacking points on the way down....

CJ

Hallo CJ,

Thanks lots for posting up that chart showing how you would have stacked!, it's invaluable ( have been trying to understand how you do it).

Practical exercise: Below is a trade I took last week on EURJPY H4 (still in). Are the marked lines places where you would have placed stack trades?

Thanks for your time

Cheers!



.

As per the chart below...if there is not a hook and test at any level I may add a double trade there as momentum would be strong in favor of the trade.

My previous example illustrates the point where I exited the trade progression, took my profits and started a new progression.

CJ

[Captain Jack]

@CJ:

Still on stacking:

a) Are the stack trades a smaller position size than the original trade?

b) How do you determine where to set the SL for the stack trades? Do you use the previous stacking point?

c) Elsewhere, you said you stack heavily when it's obvious you are right. Any pointers on how to 'know' you are right? (I know it sounds like a silly question, but hopefully you see what I mean...)

Cheers!

My situation and your's are two different things. How you trade is dependent upon your account size and your risk comfort levels, which will be entirely different than mine.

Many times I take a large entry trade as my initial stop is quite small. I can risk a large trade size here as I have a tight stop. The stacked trades are usually smaller but may be of the same size as Trade1 for the next 2 trades. After that, they generally are smaller.

I covered ways to protect the stacked trades earlier in the thread. Again, these are dependent on you and not me.

When I'm in a trade progression, there is no question as to where price is moving. I don't trade chop. I trade price that is moving. When I'm wrong, it's obvious price is moving against me.

CJ

[Captain Jack]

Question for all of the followers here. Why wouldn't you stack trades in this manner? When price is moving in the direction of your trade and plowing through previous support or resistance levels, why would you not add to the trade?

I preach patience and waiting for the trade to set up. Is it not easier to stack trades when you have a good setup than it is to search through 28 charts or more, looking for a 2nd trade setup as good as the one you are already in?? Think about that.

You can stack 10 trades and win 90% or better of them, in a single trade progression, on one good trade setup. You would have to find 10 good setups on 10 pair and win 9 out of 10, across 10 pair to do the same.

I don't have 20-30 trades open in draw down. When I am in a trade such as this, I will push my margin limit to the max. Sometimes I will book the profits from one of more of the trades that are well in profit, and roll right into a new trade. I've actually push my margin to the very limit and when price starts to retrace, my broker will close out trades in profit. I'm not saying this is what you should do, but it's what I have done at times to maximize my profit.

Really think about that.

CJ

[dudest]

Nice trade but you missed all these stacking points on the way down....

CJ

Hallo CJ,

Thanks lots for posting up that chart showing how you would have stacked!, it's invaluable ( have been trying to understand how you do it).

Practical exercise: Below is a trade I took last week on EURJPY H4 (still in). Are the marked lines places where you would have placed stack trades?

Thanks for your time

Cheers!



.

As per the chart below...if there is not a hook and test at any level I may add a double trade there as momentum would be strong in favor of the trade.

My previous example illustrates the point where I exited the trade progression, took my profits and started a new progression.

CJ

Thanks Captain, invaluable!

Cheers

[dudest]

@CJ:

Still on stacking:

a) Are the stack trades a smaller position size than the original trade?

b) How do you determine where to set the SL for the stack trades? Do you use the previous stacking point?

c) Elsewhere, you said you stack heavily when it's obvious you are right. Any pointers on how to 'know' you are right? (I know it sounds like a silly question, but hopefully you see what I mean...)

Cheers!

My situation and your's are two different things. How you trade is dependent upon your account size and your risk comfort levels, which will be entirely different than mine.

Many times I take a large entry trade as my initial stop is quite small. I can risk a large trade size here as I have a tight stop. The stacked trades are usually smaller but may be of the same size as Trade1 for the next 2 trades. After that, they generally are smaller.

I covered ways to protect the stacked trades earlier in the thread. Again, these are dependent on you and not me.

When I'm in a trade progression, there is no question as to where price is moving. I don't trade chop. I trade price that is moving. When I'm wrong, it's obvious price is moving against me.

CJ

Thanks again Sir, very insightful.

Now to practice

Cheers!

[michosz]

Hi.
I'm new user. I started read this thread a few days ago.
So I don't have a lot of expertise.
I am watching USD/JPY.
Can look on my screens ?
is it good thinking?

Is it chance for a good trade?

[dudest]

Question for all of the followers here. Why wouldn't you stack trades in this manner? When price is moving in the direction of your trade and plowing through previous support or resistance levels, why would you not add to the trade?

I preach patience and waiting for the trade to set up. Is it not easier to stack trades when you have a good setup than it is to search through 28 charts or more, looking for a 2nd trade setup as good as the one you are already in?? Think about that.

You can stack 10 trades and win 90% or better of them, in a single trade progression, on one good trade setup. You would have to find 10 good setups on 10 pair and win 9 out of 10, across 10 pair to do the same.

I don't have 20-30 trades open in draw down. When I am in a trade such as this, I will push my margin limit to the max. Sometimes I will book the profits from one of more of the trades that are well in profit, and roll right into a new trade. I've actually push my margin to the very limit and when price starts to retrace, my broker will close out trades in profit. I'm not saying this is what you should do, but it's what I have done at times to maximize my profit.

Really think about that.

CJ

El Capitan,

If I may be so bold as to say that: the concept is 100% agreeable and makes sense

The problem (at least for me) was how to go about it.

( And then I'm sure there are a good number who are soldiering on in the 'when to enter' department. I personally still don't get BARF and 3-levels/3-pushes; my mind still has to meld around these. Fortunately, the PA method I've used for the past while takes care of the entries. )

The examples you gave in the last few posts have been key. Chart examples help like nothing else.

Cheers!

[xrismak]

For Dudest 3 .png

For Dudest 1.png

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For Dudest 1.png

Hello Dudest,


Happy New Year Everyone....... Hey Dude, don't worry yourself, A Simple way of doing what you want to do is to Look for that Pins on the Higher Time frame for Example the H4 or D1 Either High or Low then Drop down to the Lower time Frames like the M15 and Try Counting the Levels, 3 to 4 days of Fall or Rise on the Currency Pair and then you should be fine, I will give you a few Screen Shots of my Moves today with a Bit of Illustration.....


Happy Trading Folks,

xrismak

[Dagu]

Hello xrismak ; )

Screenshot_5.jpg

[Captain Jack]

How do you protect your stacked trades? Here's one way...

CJ