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Trading Plan

Easiest Way to Manage TradesTrade Managements is one of the pillars of successful trading. We can enter good trades (which is difficult in itself), but still not be profitable because our trade management skills/techniques are simply not there. In this post I want to talk about the easiest way to manage trades. (Before we start we must mention that an actual EASIEST way is hugely dependent upon each trader's unique personality and circumstances. What works for one may not work for another and vice versa. There is no precisely one answer). With that being said, there is a way that is much less popular and flashy, but that helps to trades so much. That is: SCALE OUTS. Scale outs can be extremely frustrating and cause a lot of FOMOs and FOFR (fears of future regrets). Let's talk about cons with examples: Let's say you enter a trade that has 3:1 reward risk ratio. You decide to take 1/2 off a trade off at 1:1 area, and then price continues to go to your target. In this example you just made: (0.5 * 1) + (0.5*3) = +2. So, instead of making full +3 points, you think, you make 'only' +2. This can be frustrating. So next time you decide to not do scale outs, but watch what would happen: Price goes to your 1:1 target, and then turns around and you get tapped for a full -1 loss. Had you scale out You'd make: (+0.5 * 1) + (-0.5 * 1) = 0. Effectively you hit a breakeven trade. If your strike rate is at 50%, then the results profits wise are exactly the same: (+3 -1) = +2 and (+2 + 0) = +2. However, the scale out route flattens your emotional volatility all the way down and instead of being elated for banking +3 -> you bank slightly less at +2. On the other hand, instead of losing -1 you hit Breakeven for 0. Your emotional curve and psychological capital are thus preserved and it's much much EASIER to make better decisions throughout the trading session, week, and month. Scale outs aren't glamorous because they don't spark that "BIG TRADE" dopamine. But what it does is helps you to stay in the game and actually PAY YOURSELF quick whenever your analysis proves to be profitable. Instead of waiting for full +3, you actively taking profits and paying yourself, while the long-run results are relatively similar. Even if longer-term results would be smaller - the price is worth to be paid for that emotional flattening. But it won't be that much of a difference anyway simply due to statistical distribution. Price often does go 1:1, but much less so in does go to 3:1. Banking these frequent 1:1s both reduces risk AND gives profits. Scaleouts work GREAT if you are one of those traders who can benefit from them. There is another group of people, who perform much better with SCALEINs. But that is a story for another day. Lightwork_
Education
by Lightwork_
5 BIG MISTAKES TRADERS MAKE!Hey traders, I've had the privilege to have been involved in trading, both retail trading and working within a prop firm for many years. The biggest benefit I get, is to work with so many different traders with so many different strategies, personalities, timeframes, assets, you name it. I've probably worked with a trader that trades it. Now, there's a few things that are extremely common in all traders, regardless of what or how they are trading. It's the same mistakes that keep making traders fail. So today, I'm going to explain what five of these mistakes are and how to avoid them. I will also discuss how to incorporate them to ensure that you don't get hit by the stone wall that many traders do. If you have any extra information to add, please do so in the comments. I look forward to hearing from you all. TRADING WITHOUT A PLAN This right here is the biggest one and this is usually for the early beginners or even strategy jumpers. You must have a plan. That is non negotiable if you ever want to see some kind of consistency in training. I can tell you from experience, both personally and with working with traders from firms, that the more in depth that plan is, the better chance of success. The same way you create a business plan before launching a new endeavor. The same way you create a game plan for your team before you go out and verse the opponent. The same way politicians plan out their PR campaigns before running for office. You must have a thorough trading plan. A plan can consist of a multitude of different things, from understanding what you're willing to lose, understanding overall position size, understanding your trading strategy, minimizing drawdowns, maximizing profits, the assets you are trading, the times you're going to be trading, how much time you actually going to be allocating to trading and setting up goals. A trading plan must be thorough, so you can not only track your progress, but when you start getting unmotivated or confused, you have something to look back on to realign you with where you are and where you want to be. My final advice with your trading plan is stick to it. You will have bad trading days. You will have bad trading weeks. You will have bad trading months. Stick to your plan. OVERTRADING We've all been there. It's the start of a trading session. We've opened two positions. They've both gone on to be fantastic winners. You're unstoppable. Nothing can possibly go wrong from this point. You have mastered the markets. You are the best trader the world has ever seen. So what do you do? You open another seven positions because it's just free money on the table. And what happens? All seven of those positions lose, wiping off your original profit and some. This is so common in beginner traders. It's that aspect of unpredictability that they forget about in the markets. Trading too much too soon is a serious issue and it needs to be worked on as soon as possible. I understand the excitement of being live in the markets, the excitement of the profits you could earn day today, but the reality of the situation is if your brand new. Trading too much is going to be a serious issue. What sitting back watching and not trading does is not only increases your patience, but also allows you to analyze the markets in a clearer state of mind, making your future decisions a whole level ahead. Add that into the plan, give yourself a maximum number of positions per day if you are new. Trust me, it's going to help you progress. FAILING TO CUT LOSSES I've spoken about this a lot, especially in one of my recent webinars. A lot of traders are taught the whole set an forget method, and I'm not a big fan of it, but in some circumstances I won't lie. Yes, it does work. But a lot of the time, these trade ideas that they're in there actually give massive warning signals prior to hitting the stop loss that they are going to do that. The trader could have cut those losses a lot shorter. Now don't even get me started on traders that don't use a stop loss. What I wanted to do really in this segment is dive into the emotional side of failing to cut a loss. It's true. I remember experiencing it early on my trading career, that feeling of when a trades going against you, but you did all the analysis, so it shouldn't be going against you. So what do you do? You hold on with hope and temptation that it will turn for the better. The reality of the situation is in very, very rarely does. It's a horrible feeling because some traders are prone to even giving those trades more room, adding to the position, moving there stop loss, removing their stop loss altogether. Everything you shouldn't be doing in the time that your analysis is going against you, most traders lean towards because they done all the research they needed to do and they cannot comprehend bring wrong. The best way to battle this feeling, if you've ever felt it or still to this day feel that urge, is going back to number one. Trading with a plan. Have a plan. Risk management plans are the greatest things ever. We can plan for the absolute worst so when it does come in and everyone's going manic everywhere, we know exactly what to do, where to be and how to position ourselves. This will help you learn to cut those losses. NOT UNDERSTANDING LEVERAGE The world changed times are changing. You can access any type of information or access pretty much any type of market you want at the click of a button by the glorious internet. Same goes with trading is probably how most of you have gotten here, or even just into trading as a whole. The thing is, we reach out to these brokers and we open accounts with small amounts of money and they offer us great deals like 300 hundred or even 500 to 1 leverage. That means with $1000 account, you can open $500,000 of currency. Now, the reality of the situation is most traders will never use all of that leverage. But as a result is that most trade is also wouldn't have experienced a no money call when opening a position, or perhaps a margin call, or a true understanding of when they put in 0.5 lots of EURUSD, what they are actually doing. Leverage is a great tool. Fantastic tool. When used correctly. Working at the firm, had so many traders reach out. They keep getting an error code. They say, "I can't open this position!? WHY!?!" and it's all because they don't have the margin requirements to actually open that position and it is alarming to see how many traders don't fully understand what leverages and margin is considering they have used it for years. When you open a position of 0.5 lots on a U.S. dollar currency pair, for example, UUSDJPY. You are opening a position size of $50,000. You have just entered a $50,000 position. That means you are actively managing $50,000 while you are in that position. Let that sink in. Now that's just a position of 0.5 lots. There is traders pit there trading 10-100 lots and it is just baffling to understand the amount of risk there actually taking in accordance to their account size. Do your research. Understand your position size and when you're doing your trading journal. Instead of doing lot sizes in your trading journal, I recommend you do actual position size, value. That will give you a much better understanding on the risk you undertake when you take positions and also if you can, lower your leverage. You don't need 500:1. BEING ABLE TO ACCEPT LOSSES Now this is a fun one and this is what I really wanted to chat about. Being able to accept losses can be one of the most damaging things a beginner trader can ever have, because what happens is they lose the value and respect that the market can take their money. Every market "guru" and every trading course out there tells you to remove emotion from the equation, accept that losses are gonna be a thing, and trade knowing that. Now most people go, "OK, let's do that." and surprisingly, they actually managed to pull it off. Which actually creates a bigger problem. They become reckless. They no longer care if there's a little bit of parameters different from their trading plan. They no longer care if there's key indicators that the trade idea is wrong because, "we're going to have losses. So what? This one might as well be one. If you're not in the market, you're not going to make money." they become reckless. Do not remove emotion from your trading. Incorporate emotion into your trading and once again this results back to the first tip. Trade. With. A. Plan. Traders, that is all for me today. These are five things that I've noticed in struggling traders which seemed to be a common recurrence. Thank you for your time. I hope you enjoy the read. As always, have a fantastic trading week. -Jordon Mellor
Education
by the5erstrading
14
A quick and dirty trading method I useSo lately I've been using an Envelope indicator, and nothing else. I have it set to a 3-period smoothed MA on MT5, which is basically the same thing as 6 exponential on TradingView. From there, for every pair, I fine-tune the envelope's deviation range to create a very specific situation. 1) You want consolidation candles to generally close inside of the envelope. Most candles should close inside the envelope, or at least have presence on the inside. Sometimes trends are stupidly strong, though. 2) You want momentum candles to close outside of the envelope. So how do you trade it? Simple. 1) When a momentum candle closes outside the envelope, you look to enter a position on the inside of it. 2) You place a hard stop loss, which could be a 1:1 if you think in ratios, or a specific amount of money that you're willing to lose. The stop should be reasonably wide, like pretty distant from the opposite side of the envelope, because wicks happen all the time. 3) You close with a loss *only* if the price either hits your hard stop (unlikely), or if a candle closes on the wrong side of the envelope. This is important! 4) You take profit either when you're happy (typically 1:1 or greater), or with a trailing stop loss. The purpose of this trading system is to trade the *exact* trend you're on currently, rather than going for some kind of fibonacci pullback or whatever. On top of that, your losses are well controlled since your entries usually won't be far from your exit if you're wrong. Example:
Education
by WinkleTrades
2
HOW-TO: Build your strategy with Protervus Trading ToolkitHi Traders! This tutorial will show you how to build your own strategy and link it to Protervus Trading Toolking (PTT) . First of all, let me remind everyone that this content should be considered educational material, and backtesting results are not a guarantee. My goal is not to provide ready-made strategies, signals, or infallible methods, but rather indicators and tools to help you focus on your own research and build a reliable trading plan based on discipline. So, without further ado let's start building our first strategy! For this tutorial we'll build a simple EMA Cross strategy and add the Chaining Snippet to link it to PTT. The first step is to create a new indicator in Pine Editor and add the initial requirements: //@version=5 indicator("EMA Cross (data chaining)", overlay = true) Let's now create the inputs where we will be editing EMAs' length: FastEmaLen = input.int(50, title = "Fast EMA Length") SlowEmaLen = input.int(200, title = "Fast EMA Length") At this point we can proceed by calculating the two EMAs: FastEma = ta.ema(close, FastEmaLen) SlowEma = ta.ema(close, SlowEmaLen) We are now ready to script our Entry conditions: BullishCross = ta.crossover(FastEma, SlowEma) BearishCross = ta.crossunder(FastEma, SlowEma) We also wish to see the two EMAs plotted on the chart, so we will add the following code: plot(FastEma, color = color.new(color.green, 0)) plot(SlowEma, color = color.new(color.red, 0)) At this point, our code should look like this: Great, we are now ready to add PTT Snippet by pasting all the code at the end of the one we just wrote. Let's head to the CONDITIONS INPUTS section and replace the placeholder text for EntryCondition_1 , giving it a proper name: EntryCondition_1 = input.bool(true, 'Ema Cross', group = 'Entry Conditions') We can also add null to the unused inputs to clear the settings panel: ADDING ENTRY CONDITIONS We'll now be adding our Long and Short Entry conditions in the ENTRY \ FILTER CONDITIONS section. In LongEntryCondition_1 we should replace null with BullishCross : LongEntryCondition_1 = BullishCross Same for ShortEntryCondition_1 down below: ShortEntryCondition_1 = BearishCross Guess what? We're done! We just added our Entry conditions: We can now compile the script and add our indicator to the chart, along with PTT. Let's open PTT and select "EMA Cross (data chaining): Chained Data" in the Source Selection drop-down menu - the data will now be forwarded to PTT and we can start tweaking the settings to experiment with our new strategy: ADDING EXIT CONDITIONS Let's say we now also want to add an Exit condition for when the price goes above (or below) the fast EMA, signaling a trend reversal: we can do that in no time! Go back at the top of the code, and right after our EMA calculations, add: PriceAboveFastEma = ta.crossover(close, FastEma) PriceBelowFastEma = ta.crossunder(close, FastEma) Of course, we also need to add the newly created conditions in the snippet code. Let's find the section EXIT CONDITIONS and, just like our Entry conditions, we can replace the null placeholder with our actual conditions: LongExitCondition_1 = PriceBelowFastEma ... ShortExitCondition_1 = PriceAboveFastEma If we also want to use these conditions as Stops, we can add them to the STOP CONDITIONS section: Note: Exit Conditions will close the trade in profit, while Stop Conditions will close the trade in loss. Still, you should not worry about scripting it yourself: PTT will take care of analyzing the trade and separate Exits from Stops when the signal to close the position is received. ADDING FILTER CONDITIONS Besides using our indicator to open and close trades, we can also use it to filter the signal from another, chained indicator. To keep this tutorial simple, let's use the same EMA Cross script, so we can add it again to the chart and use the first one as Signal, and the second as Filter. Let's add our Filter conditions in the script: FastAboveSlow = FastEma > SlowEma SlowAboveFast = FastEma < SlowEma Just like we did in the previous steps, we should now add the option in the settings panel and the Filter conditions in the snippet code: CHAINING INDICATORS We currently have one EMA Cross indicator working as Signal in the chain, linked to PTT on the chart: Let's copy-and-paste the EMA Cross indicator (or add it again) to have two of them. The first one on the chain will act as Filter, so in the settings let's give the two EMAs a longer length (e.g. 250 and 300) in order to verify the trend and discard signals received when it's not favorable. Remember to set output mode as Filter, and tick the Filter box. The second one will be our Signal: we can choose the length of the two EMAs we will use as Entry \ Exit when a cross happens (e.g. 100 and 200), enabling our Entry and Exit conditions by ticking the boxes. This time, we will tick the "Receive Data" box, and select the Chained source of the Filter: If before linking the Filter you already had the Signal linked to PTT, you will notice it automatically recalculates the data - and if our Filter works as intended, the improvements will be visible ;) EXTRAS If your indicator doesn't plot anything on the chart, we must enable a "Dummy Plot" in order to prevent issues, since we are sending chained data as an invisible plot and it cannot be the only plot in the code. Just un-comment the line plot(close < 0 ? close : na, title='Dummy Plot') to avoid this problem: ADDING SIGNALS MARKERS PTT will show all labels and markers for trades, but if you wish to have them on the indicator or just to debug your signals, you can enable and customize the last lines in the snippet: CHAINING SCHEMA |-- Filters (optional, any number of filters - linked one to another) |---- Signal (mandatory, only one indicator must be set to Signal - in case of multiple Filters, Signal must be linked to the last Filter in the chain) |------ Protervus Trading Toolkit (linked to Signal) |-------- PTT Plugins (Strategy Wrapper, Trade Progression, etc - linked to PTT) NOTES - When you chain an indicator, its source remains "locked" even if you un-tick the Receive Data box. If you wish to use that source on another indicator you should un-link it first (just select "Close" as source to free the indicator's chain output). - If you remove indicators in the chain, all other indicators linked AFTER it will be deleted - to prevent this, you should un-link chained indicators before removing them. - Pine Script is limited to one source input per indicator, so you cannot chain indicators that let you choose another source to calculate data: for example, if you have an RSI indicator with a source selection ( input.source ) you must remove that input and only use the one for chaining. You can read more on PineScript Reference page.
FTX:BTCUSDEducation
by Protervus
2
What is Spread in Trading | Trading Basics 📚 Hey traders, It turned out that many newbie traders completely neglect spreads in their trading. In this post, we will discuss what is the market spread and how it can occasionally spoil a seemingly good trade. 💱No matter what financial instrument we trade, in order to buy the asset we need to have a counterpart that is willing to sell it to us and vice versa, if we want to sell the asset, we need to have someone to sell it to. The market provides a convenient exchange between buyers and sellers. The asset price is determined by a current supply and demand. However, even the most liquid markets have two prices: bid and ask. 🙋‍♂️Ask price represents the lowest price the market participants are willing to sell the asset to you, while 🙇‍♂️bid price shows the highest price the market participants are willing to buy the asset from you. Bid and ask price are almost never equal. The difference between them is called the spread. 📈The spread size depends on liquidity of the market. 📍Higher liquidity implies bigger trading volumes and greater number of market participants, making it easier for them to make an exchange. On such markets we see lower spreads. 📍From the other side, less liquid markets are categorized with low trading volumes, making it harder for the market participants to find a counterpart for the exchange. On such market, spreads are usually high. For example, current EURUSD price is 1.0249 / 1.0269. Bid price is 1.0249 - you open short position on that price. Ask price is 1.0269 - you open long position on that price. The spread is 2 pips. ❗️Spreads must always be considered in a calculation of a risk to reward ratio for the trade. For scalpers and day traders, higher than usual spread may spoil a seemingly good trade. Always check spreads before you open the trade. In 2020, for example, we saw unusually high spreads on Gold during UK/NY trading sessions. Spreads were so high that I did not manage to open a trade for a couple of days. Not considering spreads in such a situation would cost you a lot of money. Do you consider spread when you trade?🤓 ❤️If you have any questions, please, ask me in the comment section. Please, support my work with like, thank you!❤️
Education
by VasilyTrader
3
Stand Up Strong, Do It Again - The Power of Not Giving UpMost of us, we all go through periods of vulnerability, periods where we are filled with negativity and pressure. If none of your surroundings comprehend you, I am here rooting for you. The path to a better self is never going to be an easy route, we go through failure, periods of low energy, periods of depression. But... so what? Life still goes on. No one will be there patting on your shoulder carrying you up. You got to stand up strong alone, and continue paddling. Fail once, do it again. Fail twice, do it again. Fail thrice, do it again. UNTIL you succeed. The toughest and strongest human being are those who refuse to give up, who truly the process of getting beaten up again and again. The same goes into trading; "90% of Trader blow up 90% of their capital within 90 days" So how do you become a winner in such a competitive place? Is to simply survive. Survive long enough so you get to build a stream of trading lessons from your mistakes. You then constantly review your mistakes and fix them like a specialist. The longer you stay in the market, the higher the chance you are going to become the top 10%.
KRAKEN:BTCUSDEducation
by TraderNeoh
3
Is mindset holding you back 🤔Trading can be a rollercoaster of emotions. Many traders are unaware of when their state of mind leads to underperforming trades and why it happens. We are all different and unique when it comes to trading, and understanding the type of trader you are is essential to your success. Traders can spend a lot of time studying technical indicators and strategies, but understanding the psychology driving your trading decisions is just as important. The first starting point of getting on the right path in regards to trading psychology and emotions is by having the right one of two mindset choices. There's two mindsets which will effect your trading results and progress massively. They are 'Growth mindset' and 'Fixed mindset' Of those two mindsets there is only a place for one when it comes to trading and that is 'GROWTH MINDSET' The graphic on chart shows the difference between the two mindsets. If you can't ditch the 'Fixed mindset ' you will never be able to progress in trading. No matter how great of a trader you think you are, or how well you think you handle your emotions. It's impossible to remove them from the equation completely when trading. When emotions are combined with a 'Fixed mindset' mentality however you are going to feel emotional pain and loss of money when it comes to your trading. Once you have learned to recognise your mindset, you can then begin the next important step of switching to the ' Growth mindset ' People with a ' Fixed mindset ' believe they are born with a certain amount of intelligence and that it is fixed for the rest of their lives. People with a 'Growth mindset ' however know that intelligence is not fixed and that you can in effect grow your brain. They see their traits as just a starting point and know that these can be developed by hard work, effort, dedication and challenge. Having a growth mindset can improve your progress and attainment and this is crucial in being successful as a trader. The brain can be developed like a muscle, changing and growing stronger the more it is used. Your abilities are also very much like muscles they need training in order to perform at their peak. You can learn how to do anything you want to do and you can get better at whatever that is with time and consistent practice. Even if you have what you perceive to be a talent or ability for something, if you never practice that talent or ability you simply will never improve. Applying this theory to your trading game will help you grow not just your accounts but as a person also. Get that 'Growth mindset' and start believing in your ability to change. Thanks for looking. Darren 🙌
Education
by pow_removetheguesswork
3
Trading Hours and Market ClockTime Zone: UTC + 4:30 01. Wellington NZX: 02:30 am - 09:15 am 02. Sydney ASX: 04:30 am - 10:30 am 03. Tokyo JPX: 04:30 am - 10:30 am 04. Singapore SGX: 05:30 am - 01:30 pm 05. Hong Kong HKEx: 06:00 am - 12:30 pm 06. Shanghai SSE: 06:00 am - 11:30 am 07. Mumbai NSE: 08:15 am - 02:30 pm 08. Dubai DFM: 10:30 am - 03:15 pm 09. London LSE: 11:30 am - 08:00 pm 10. Zurich SIX: 11:30 am - 08:00 pm 11. Frankfurt FWB: 11:30 am - 08:00 pm 12. New York NYSE NASDAQ: 06:00 pm - 12:30 am 13. Toronto TSX: 06:00 pm - 12:30 am
BINANCE:ETHUSD.PEducation
by yaser_rahmati
Motivation Is Not A Superpower - The Power of Not Giving UpI think most people overweight the word "motivation" Motivation only gives you the sudden thrust to initiate, continue or terminate a certain behaviour at a given time, it is not lasting. Without a good attitude, mental and physical toughness, effort, passion, and focus, motivation is nothing but a booster. You do not need motivation to succeed as it only gets you started. The power of not giving up is what determine our achievement. The same goes into trading, I've coached/ talked to more than 30 Traders in the past, most of them have extreme level of interest in the beginning. But as time goes by, I saw almost every of them walk away from this business, not because they do not know trading will probably bring them financial freedom, but because their fear of failure has overweighted their motivation to succeed. Probably because they have blown up multiple accounts, instead of digging into the root of cause and finding solutions, they give up after several failure. Trading is just like any business, it requires time, energy, effort, tear, money, ongoing passion, high level of discipline and consistency to outperform the 90 - 95% of losing Traders. The more you are able to become a problem-solvers, the higher the chance you may succeed. What I always suggest to inconsistent Traders, is to become a specialist. Specialize in certain markets, certain timeframe, certain currency pairs, don't try to have your eyes all over the place. If you're constantly shifting your focus, you will never get anything done. You only need to master in one specific asset/ pair to become consistently profitable. Think about it and let me know your thoughts in the comments below.
OANDA:XAUUSDEducation
by TraderNeoh
1
Becoming A Flexible TraderTo become a flexible Trader might sounds like an easy thing to do, but to become a consistently profitable Trader in the market takes lots of internal growth. In this video I'll be sharing some of my personal experiences and advice into becoming all-rounded 'good ' Trader. If you like the content make sure you click the like button and share it with anyone else who needs to watch this. Trade safe and take care. All the content I've posted are for educational purposes, please perform your own research and only take it as a reference.
OANDA:XAUUSDEducation
by TraderNeoh
Never Try To Hide Your Mistakes By Making More MistakesOne of the common patterns amongst Traders that's really causing them to unable to achieve consistency, is the fact that they do not own up/ admit their mistakes. We're all humans, and we're bound to make errors every day, week, or month. There's nothing wrong with making mistakes, and certainly making mistakes don't make you look stupid. It is the way that you refuse to admit that you've made mistakes that makes you look stupid. Imagine today you've taken trades you're not supposed to take. During your self-reflection, you clearly knew you've over-traded, but you try to comfort yourself by putting the blame onto the markets, "the market condition was bad today, etc...". Look.. Now you've made two mistakes. 1. Over-traded 2. Not being honest to yourself that you over-traded Lying to yourself is one of the worst lies you can ever make. Overtime, It transforms and convinces you into accepting lies because it'd probably turned into a bad habit. It prevents you from growth, advance, and achieve. Some of you probably have experienced lying to others. Ask yourself honestly, how many lies do you have to make up afterwards JUST TO cover up the first lie? It's the same goes to yourself, your mind. The willingness to have complete transparency within your mind will boost your personal growth. Sometimes, if you're experiencing some horrible trading days or months, make it a habit of sharing your mistakes with someone else. Trust me, the more you're willing to own up your errors, the better you perform. Because now that you knew your problems, then you can always find solutions around it, if not, seek for help!
OANDA:XAUUSDEducation
by TraderNeoh
2
"Stop it, Picasso! Trading should be kept simple."Quick question: which of the two illustrations portrayed on the graph do you enjoy more? If your preference is the one on the right, then you should have definitely continued the legacy of the Renaissance era artists. On the contrary, if you prefer the one on the left-hand side of the screen, let’s become friends. Starting with the portrait (let’s put it that way) on the left, we can observe how everyhting is illustrated in a crystal clear way. Firstly, no indicators have been used, which makes it easier for us to read the chart. Second, it has been shown that with as few as 2-3 confluences, a trade has been executed. On the opposite side of the road, we have the portrait which is depicted on the right side of the screen. We can see how blurry, messed up and confusing it all looks. Two random EMA’s crossing each other, ABCD patterns, Elliott Waves, tens of thousands of Fibonacci retracement levels, random Support&Resistance levels and many other indicators have been added into the chart with zero purpose. Yes, indicators could and should be used as confluences. However, by adding tens of indicators into your charts, you are not beating the market. Just like in real life, everything should be utilised in moderation. The purpose of this idea is not trying to damage the reputation of indicator trading, but to show that pure price action will always be the king. Many beginning traders get tricked into believing that by adding multiple indicators into their charts, they will have a high win rate, a successful trading journey, long-term profitability. Little do they know that many indicators contradict to each other and perplex novices into entering random positions. Of course, as we always say, if it works for you, then go for it. Chart analysis is only a part of your trading plan. There is also psychology, risk management, discipline and so forth.
BITSTAMP:BTCUSDEducation
by Investroy
47
Self-Reflection Is The Key To GrowthHi Traders, in the previous mindset sharing I talked about the simple equation that has helped me to progress faster "Pain + Reflection = Process" But you could be thinking "How do i reflect?" OR "I do reflect a lot, but I don't see myself going anywhere." I believe it all comes down to the way you perform your self-reflection & self-reviewing process. If you're not digging into the root of problems, you'll never get rid of it. Let's assume today you've taken 5 trades. Now the market has closed, you're performing your daily reflection. First thing first, is to write down a list of what you think you've done right, and what you've done wrong. Maybe your entry was perfect, but you did not manage the trade well, whether you size in too big/ aggressively or you did not manage your exits well. Be very real to yourself when you're doing your self-reflection, do not try to hide things or blame things just because it makes you feel good. I've seen quite some numbers of Traders not admitting their own mistakes, trying to put the blame to the market or any external factors. Being true to yourself is the first step to changes, if you can't even be honest to yourself, there's no way you can improve. After you've written down the list, now question yourself: "Is there anything that could be improved?" OR "Is there anything that I could eliminate because they're impeding your overall performance?" Most of the times, Traders are not achieving consistency mainly because of the ONE mistake that they've been repeating, and it turned into a habit. After you've performed your self-reflection, make sure you write down your conclusion and make sure you do not repeat the same mistakes again tomorrow. One step at a time, repeat this process every day.
OANDA:XAUUSDEducation
by TraderNeoh
2
53 pip profit + Horizon wins yet again! + New Horizon tradeIf these ranges lasted forever, I wouldn't mind at all. I took 53 pips this morning long, this was something I posted 2 times about last night and this morning, so check those out for a more in depth look at the signals that lead to that move. It's really important in this market to be in before the move happens, you miss out on a lot of money, and your exposure almost triples when you chase the market. Remember that. Horizon took 76 pip profit today from last Friday. That's nearly 50 pips net, since the beginning of this range. It took a 60 pip loss after being up almost 80 pips on Thursday. It couldn't find a valid exit, which is annoying considering that this strategy could have produced over 140 pips in profit last week. Trust me I've played with trailing stops and static profit targets with this strategy and they just don't work nearly as well as just letting trades run and waiting for a strong exit signal. Trade number 3 was the worst loss Horizon has taken to date, I mentioned earlier that Horizon assesses stop losses on bar close and not in real time, so the strategy is exposed adversely to large break out candles like the one in the picture below. This is a risk that I'm willing to accept though because A. Horizon mitigates that risk using multiple confirmation protocols and B. the RR is 3-4 times the losses. This strategy is designed to take 30-50 pips on average, with occasional 100-200 pip trend. As things stand, Horizon's average loss is only about 20-30 pips. Plus Horizon's wining 6-7/10 at this point so it's all good! Plus I'm adding some logic this week that I'm hoping will boost performance even further. So far it's 2/3 and currently 30 pips up on it's 4th live trade. That said if I DID find a better alternative to this stop loss strategy, I would more than likely cut my max draw down in half. It's sitting at about 8-9 right now, which I would love to get down to about 5% using the same risk. Horizon's current exposure is 1.7% per trade because of the draw down rules that FTMO and other prop firms put in place. With my own capital, I could easily raise that to 2-3%, I don't really want to though (yes I do) Horizon , like I mentioned has pyramided a short trade which has been as high as 35 pips profit, so far, so this one's looking like a winner as well. Overall that's 150 pips taken between me and the machine in the last 4-5 days, so very happy, and I'm praying for even further success in the coming weeks. I'll link each post so you can audit my trades. I post these trades well before the moves actually happen.
Education
by NeoDaNomad
2
Trading Sessions in Forex | Trading Basics 🕰🌎 Hey traders, In this post, we will discuss trading sessions in Forex. Let's start with the definition: Trading session is daytime trading hours in a certain location. The opening and closing hours match with business hours. For that reason, trading hours are varying in different countries because of contrasting timezones. ❗️Please, note that different markets may have different trading hours. Also, some markets have pre-market and after-hours trading sessions. In this post, we are discussing only forex trading hours. The forex market opens on Sunday at 21:00 GMT and closes on Friday at 21:00 pm GMT. There are 4 main trading sessions in Forex: 🇦🇺 Australian (Sydney) Session Opens at 21:00 GMT and closes at 06:00 GMT 🇯🇵 Asian (Tokyo) Session Opens at 12:00 GMT and closes at 9:00 GMT. 🇬🇧 UK (London) Session Opens at 7:00 GMT and closes at 16:00 GMT. 🇺🇸 US (New York) Session Opens at 12:00 GMT and closes at 21:00 GMT. Asian trading session is usually categorized by low trading volumes while UK and US sessions are categorized by high trading volumes. Personally, I trade the entire UK session and US opening and usually skip Australian and Asian sessions. What trading sessions do you trade? ❤️If you have any questions, please, ask me in the comment section. Please, support my work with like, thank you!❤️
Education
by VasilyTrader
2
Pain + Reflection = ProgressHi Traders, welcome back to another mindset sharing video. Whenever I go through some obstacles or failures, I always go back to this simple equation by Ray Dalio, "Pain + Reflection = Progress" In life, the only way to not experience any failures is to avoid them, which could be very detrimental to your personal growth. To grow, one need to experience certain levels of pain. To transform, one need to have a high pain threshold and tolerance. For whatever you're going through right now, just remind yourself to not give up, and things will eventually come.
OANDA:XAUUSDEducation
by TraderNeoh
18
This is why patient traders are profitable and consistent"Cut the losers only, let the winners run". One of the quotes that are pretty popular among beginning and experienced traders. Sounds pretty simple, but let's take a look at it in practice. On the left-hand side, we have illustrated the recent trading history of a patient trader, and on the right side, that of an impatient one. Taking a close look at the recent trades of the patient trader, we can observe that he has a solid trading plan, rock-solid psychology and discipline, and a very good risk management plan. Out of 5 trades, he has only won 3 of them. But due to the fact that he risks only 1% of his trading capital per trade and sets realistically-positive Take Profit levels that vary depending on the market, he makes really appetising returns. On the contrary, the impatient trader has everything to fail. If we take a look at the recent trade history, we can notice that this trader neither has a well-defined risk management strategy nor any discipline or patience (well, the name says it all). There is a common misconception in the world of trading that states: "the higher your win rate is, the more profitable you will be in the markets". This statement is absurd and totally incorrect. No matter how high your win rate is, if you are not risk tolerant and you put all of your eggs in the same basket, you will be far away from reaching the doors of consistency and profitability. To add, patience and a strong psychology are heavily linked and cannot exist without each other. Hence, once you teach your mental state the importance of the ability of sitting on your hands and waiting, your trading journey will head towards the correct direction. Enjoy the read! Investroy.
BITSTAMP:BTCUSDEducation
by Investroy
29
Types of Orders In Trading | Trading Basics 🤝💱 Hey traders, In this post, we will discuss types of orders that we use in Forex trading. ➖ Market order. Trading position is opened at a current price level. Buying the asset, you will open a trading position at a current ask price. Selling the asset, you will open a trading position at a current bid price. Even though market order is the most preferable type of orders among newbie traders, I highly recommend not to use that, especially if you are a day trader. ❗️The main problem is that prices constantly fluctuate and there is a certain delay between order execution and position opening. For these reasons, the position will be opened from a random price level within the range where the market is currently staying, affecting a risk to reward ratio. ➖ Limit order. Trading position will be opened only from a desired price level. With buy limit, you will buy the asset from a certain level. (current price remains above the order) With buy stop order, you will buy the asset from a certain level. (current price remains below the order) With sell limit, you will sell the asset from a certain level. (current price remains below the order) With sell stop, you will sell the asset from a certain level. (current price remains above the order) That is the order type that I prefer. Limit order helps you to trade from a desirable level, automatically executing the order once it is reached, letting you preliminary set it. ❗️However, remember that there is one big disadvantage of that order type: there is no guarantee that the price will reach the desired price level to activate a trading position. For that reason, occasionally you will miss the trades. Try these order types on a demo account to learn how they work in practice. Which order type do you prefer? ❤️If you have any questions, please, ask me in the comment section. Please, support my work with like, thank you!❤️
OANDA:XAUUSDEducation
by VasilyTrader
9
Does Trading More = More Profits?Seems like most of the Traders think that by trading more = more profits. The answer to this can be two-dimensional. Yes, theoretically the more you trade means you could make more money. If we simply do the math, day trader should be making more than swing trader/ long-term investor right? But why the failure rate of short-term Trader is much higher than swing Trader & long-term value investors? The key element here is emotions. Let me share some examples here: • Trader A is a swing Trader. On average he takes about maximum 5-10 positions per month • Trader B is a day Trader. On average he takes about 5-10 positions per day In this case, let's put performance asides, but who do you think will have less emotions involved in their decision making process? Definitely Trader A. When you're taking less trades, means each time before you get involved in any position, you spend more time on your planning process, you are aiming for quality rather than quantity. When you have more involvement in the market, you have a higher probability of over-trading, over-thinking, and over-reacting. I'm not here trying to blast daytrading isn't profitable, it is in fact profitable. But most retail Traders take large numbers of unnecessary trades which elevate their risks, causing them not able to achieve profitability over the long-run. When you lose a trade, you have a tendency of revenge trading. The more trades you lose, your irrational thoughts creates hope and ego, believing that you cannot be wrong. The devil behind all these bad trading habits is purely illusion, the illusion of "This is going to be the best trade" OR "What if i don't take this and it turns out to be a winning trade?" CEOs', Hedge Fund Manager, etc... They are all paid generously to make a small quantity of quality decisions, not to take large numbers of poor decisions. The same goes to trading, market will reward Traders who understand Risk Control and Trade Management. The lesson here is to never rely on luck & hope in your trading. Instead, put more focus on your discipline and planning process. The more you are able to disregard the market noises, the better you perform.
OANDA:XAUUSDEducation
by TraderNeoh
2
100% win rate strategy is possible!! Technically[ ]100% win rate is not possible but 100% no loss is possible. I know what you guys are saying right now,"What the hell,isn't both of these are the same thing".Well you're not wrong. What about 100% profit and 100% no loss,is it still the same? No they are not the same. [ ]100% profit means 100% no loss but 100% no loss is not always 100% profit. With 100% no loss you can still have 0% profit. [ ]Suppose you have 66.66% win rate strategy means you will win 66.66 and lose 33.33 out of 100 trades. So if we can do something about those 33.33 trades we can actually achieve 100% profit and that's where no loss strategy comes in. So technically we can achieve 100% win rate Holy-Grale strategy. [ ]Another example of the importance of no loss strategy is: Suppose,Sam who is a new trader has a normal strategy of 66.66% win rate.In first session of 100 trades he wins 66 trades in row and next 33 trades he loses in a row. In next session of 100 trades he first loses 33 trades in a row, as of now he is back to square one. But that's not possible, that's why trading is not gambling.Even if it's not possible suppose now he has the no loss strategy he will never go back to square one.He will now have constant profits like the 5% of traders who makes profits. [ ]I have already found my own 100% win rate/Holy-Grale/100% no loss strategy.Well not 100% but 99.99% no loss strategy because of price spread, fat finger mistake etc. The name of my strategy is SSS-Grade Strategy v888.088. I made it for 5 minutes timeframe and improved over 2 years,so yeah it can work in any higher time frame.My strategy works in range or trending market but only in crypto.I have combined 3 strategies into one strategy. [ ]One is for support and resistance zones which act as support of my SSS-Grade Strategy just like human leg support weights.You can see how accurate these support and resistance zones in my previous ideas and below.Few days ago I posted my idea about ethereum short 1hr TF, after a few minutes someone named ****amer69 also posted a Idea about ethereum long 1hr TF.Because we both are support and resistance traders it was fun and exiting experience. If this idea gets 10000 likes and 10000 followers I will post few tips and tricks about support and resistance and his support and resistance mistake.Well joke aside I may do it in the near future. [ ]The heart of the SSS-Grade Strategy is my confirmation strategy. It consists of 7+ plus rules. So its easy to make fat finger mistake in my phone cause I don't have a pc. [ ]Lastly the brain of my SSS-Grade Strategy is no loss strategy.As the name applies, it takes me out of the losing trade with no loss.Sometimes with very very small profit or very very small loss.It's also work great for dynamic take profit like supertrend, atr stoploss etc [ ]As for the proof of my SSS-Grade Strategy you will see as I write more ideas with my strategy. [ ]So what I am trying to say is,its not technically impossible to make 100%  win rate strategy. So all the traders, youtubers please make some videos or post about it and that can be great help for the trading community cause I didn't see any no loss strategy as of yet. [ ]P.S: You will not find my SSS-Grade Strategy anywhere in the Internet.
Education
by TrueUrBoss
2
Unraveling the bitter truth about compounding in trading"I'll start with $100 and flip it to $10k" is one of the lies we tell ourselves when we first start trading. Although compounding can do some wonders, without realistic expectations and targets, you will not reach your goal. Illustrated on the chart, we can see a sincere and a deceitful statistical representation of a compounding system based on a year-long tracking. All numbers depicted in percentage-based returns are for example purposes. For both cases, we will have a $5000 beginning capital to work with. Looking at the left hand-side of the screen where the realistic statistics are, we can observe that the ROE (return on investment) numbers differ from one month to another. Some months result in a small loss, some are in deep profits and so on. Just like every single trade, every single month should result in the following: - A big win - A small win - A small loss - A breakeven On the contrary, looking at the table portrayed on the right side of the screen, we can see a blurry image of compounding. Expecting to make a fixed return of 10% every single month is nice, but unrealistic. No matter how well-backtested your trading strategy is, in the world of business and finance, nothing is 100%. Plus, there are several factors influencing our trading life: changing market conditions, negative impact of the surrounding environment on our everyday lives and so on. What we are trying to emphasise is that mentally and psychologically, it is impossible to make huge returns consistently on a monthly basis. The bottom line: have a trading plan that fits your lifestyle the most, be disciplined, risk-tolerant, cold-blooded. And most importantly do not rush the process, as good things come to those who wait.
BITSTAMP:BTCUSDEducation
by Investroy
122