kwchau wrote:201 winners with an average profit of 23 pips a trade. Going from line to line. or just profiting halfway through a session. I then set up my next trade and see if price crosses the line to go to the next line. I win if the market ranges, I win bigger if the market trends. So I dont have to deal with the idea is the market going to range or trend. I will win either way. Kill the losers quickly if it doesnt look good and hang onto the ones that show promise of going back into the trend.
Hi Bob, when you go from line to line, how do you set your profit target ? Let say you enter two sell pendings, one at WP and one at WMS1, do you set WS1 as the PT for both ? Or do you set WMS1 as PT for the WP pending and WS1 as PT for the WMS1 pending?
Appreciate your enlightenment.[/quote]
Profit goals and profit targets and reality are two different things. In my 10.2? booklet, I showed that almost every single week almost every single pair price will move from the WP to either S1 or R1. You probably will find that happen 90% of the time every week on every pair. So to be a successful trader all you need to do is find which side of the WP price is going to move and you can have a successful week. Easier said than done, as we all know.
But what really happens during a trading week. Price will move up and down and all over the place. Somes it will make the trip in a matter of hours or take all week. Sometimes it will do several times a week sometimes once. I wish I really knew, I know of no magic way to tell you next week the gbp/usd will travel from WP to S1 at the begining of the week and then sit there and bounce around the rest of the week. OR the gbp/usd will go from WP to S1 but will take all week to get there. Meanwhile, it goes up +30 then back to -20 then up 15 and back to -40 then up 10 back to -5 then move to +60 and then back to +20 and then ..................... well you get the picture. It seems to me that if you just take profit when it appears you got money in the bank. Like I describe in my manual during trading sessions. I may take the +20 during the JPY session, set up a re-entry just before the Euro open, it just sits there during euro but just before the USA session it goes to -15 and my indies or price action is showing reversal. Maybe kill that trade and reset a new pending further down/up. If I am wrong and price moves back into the trend I am back in and profit later. If I am right I am out of a negative trade.
Price may move, cross DP during JPY but stop at the MID. I take it. It filters back below the DP so I set up another trade. During the Euro it moves up two levels on the daily pivot lines. So I take profit. It the filters back before the USA open. I then set another pending just above DR1 and WRM and WSR1. Price explodes and 3 hours in I have 3 in profit. I close all three and then set a pending after some previous high point or next line and let it run the rest of the day. I get up before the JPY session and see if anything has happened. Sometimes it sits at 100+ maybe 20+ maybe -35. Either way I then plan my next set of trades for the JPY session. I may put a TP so that trade may close a loser at -5 but the new pending at the nearest line will give me a +25 so I pocket +20 on the trade of both. I then have a pending on the next line in case price runs after the TP. I pocket profits and close out losers with a winner. Now instead of increased risk I am back to 1 level and looking to reenter the trend but if it retraces and the loser gets bigger, I plan what I want to do with it next. I know depending on price action that no AUD trade last week went to the 240 line so there was no need to take any losing trades. However, if I think that particular trade is just going to head for the 240 then I will take my loss and move on.
Once you are no longer afraid to close out a loser or you will ride a losing trade because you know it will be a winner then you can just trade away. Even though my cad/jpy trades are running 2-300 in the negative today. I know I just got to get them safely to the beginning of the month and I will get those back to profit or close them with some winners.
I had a very funny week. You may remember I tripled the size of my account last month for the start of this month. So trading 10.4 I had my best money week since trading the system. I have won more pips and had bigger increases in my account than this week but it was my best money week with this system. What was strange as my account went into DD my profits also went up at almost the same ratio. So when I was 100 dollars down, I was 100 up in closed trades. When I went 200 down, I was up 200 in my account. In other words I could break even anytime I wanted. Then Thursday there was a nice retrace and I cleaned out most of the trades that were causing me my DD so most of my profit became clear. I just constanly have pending trades set up and ready to go if price goes in my direction. The AUD treated me well making over 1/3 of my winnings this week. CSS Daily and 4H showed me continued weakness. News stories reinforced this CSS read with more news of China economy slowing down. The only bad thing that happened was the JPY reaction to the stock market. Something no indicator can predict.
So sorry I rambled but it comes down to this old adage from American football. The winning quarterback will often say, "I just took what the defense offered me." I try to play Forex the same way. If it gives me 10 pips by the middle of a session then 10 pips it is. If it gives me 150 pips then I will take it. Of all the things I have read and tried. That is the one that has made me the most profitable. Yes, I may miss the big move but most of the time I got it in the bank before it retraces and I get more pips that way than trying to play for the 100 pip move.
If you want measure the distance from WP to S1 on aud/cad, aud/chf, aud/nzd, aud/usd, aud/jpy and the distance WP to R1 on gbp/aud and eur/aud. Then compare that with 1180+ pips I got from those 7 pairs. That is an average of 168 pips per pair for the week. How many people can say they did that? I increased my account by 9.2% this week. I know some who did better but not that many. I am a singles hitter in Forex. I almost never play a BE SL. I just take the profit and go on. If it moves another 50 pips more I dont care. I profit and I move on. I takes my loss and I move on. I am not afraid to trade. I trade small enough that no one trade can ever hurt me, even if it goes a 1000 pips in the hole. I trade plenty of trades to actually make money.
My reward, I plan on going to London the last week of June. That is where my May earnings are going. My wife and I plan to add that to our trip and spend 3 days there. Maybe I will get to meet some of you. I will post the dates as soon as it is finalized. I will finalize the trip when I get my visa done here in China.
