What do you do if you lose a trade? - page 2
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Definetly i will see the chart and find to add the certain filter for my strategy to avoid the loss. but i will do this in weekend.
I dont agree at all. What shall be the goal for "avoiding losers" and "do better"? Avoiding all losers or as much as losers as possible? Why?
It´s absolutely the wrong way to focus on the success rate. If you are a scalper, and open/close trades within seconds: Then yes, cause the risk/reward ratio is mostly 1:1 or worse. In this case, you need more winners than losers to be profitable.
But if not, it´s better to focus on a good risk/reward ratio and in the most cases, a lower success rate combined with a higher risk/reward ratio is more profitable. For swings, it´s definitely the much more profitable way and more losers than winners is just a part of all swing strategies.
And if someone has the time to take himself out for hours or a day, I assume this one is not a scalper, he´s a swing-trader. And here I come back to the risk/reward thing and claim: It´s the wrong way to avoid the losers. Optimization should focus only on how to optimize the losers in view of lower losses and optimize the winners in view of higher profits.
I dont agree at all. What shall be the goal for "avoiding losers" and "do better"? Avoiding all losers or as much as losers as possible? Why?
It´s absolutely the wrong way to focus on the success rate. If you are a scalper, and open/close trades within seconds: Then yes, cause the risk/reward ratio is mostly 1:1 or worse. In this case, you need more winners than losers to be profitable.
But if not, it´s better to focus on a good risk/reward ratio and in the most cases, a lower success rate combined with a higher risk/reward ratio is more profitable. For swings, it´s definitely the much more profitable way and more losers than winners is just a part of all swing strategies.
And if someone has the time to take himself out for hours or a day, I assume this one is not a scalper, he´s a swing-trader. And here I come back to the risk/reward thing and claim: It´s the wrong way to avoid the losers. Optimization should focus only on how to optimize the losers in view of lower losses and optimize the winners in view of higher profits.
Its so easy to get sucked in a haze of ego and pride , especially when you are a developer,
but WinRate is not that important.
I dont agree at all. What shall be the goal for "avoiding losers" and "do better"? Avoiding all losers or as much as losers as possible? Why?
It´s absolutely the wrong way to focus on the success rate. If you are a scalper, and open/close trades within seconds: Then yes, cause the risk/reward ratio is mostly 1:1 or worse. In this case, you need more winners than losers to be profitable.
But if not, it´s better to focus on a good risk/reward ratio and in the most cases, a lower success rate combined with a higher risk/reward ratio is more profitable. For swings, it´s definitely the much more profitable way and more losers than winners is just a part of all swing strategies.
And if someone has the time to take himself out for hours or a day, I assume this one is not a scalper, he´s a swing-trader. And here I come back to the risk/reward thing and claim: It´s the wrong way to avoid the losers. Optimization should focus only on how to optimize the losers in view of lower losses and optimize the winners in view of higher profits.
The psyche is a killer. Thats the problem of us all. It feels better when you are more often right than wrong, of course. Maybe thats why I do only scalping, unfortunately I am not a robot too :)
And I also think, that everyone who starts with trading should ask oneself the question, if he or she is able to be wrong very often or not. If not, this person should not do swing trades and should instead focus on scalping strategies, otherwise its probably gonna end up in constant losses. This is at least my personal opinion about it.
Yes I totally agree
The psyche is a killer. Thats the problem of us all. It feels better when you are more often right than wrong, of course. Maybe thats why I do only scalping, unfortunately I am not a robot too :)
If the above is a result of years of immersion , then how amazing is the fact a machine can immerse itself in
the available entirety of the asset ?
Imagine if what happens in your brain overtime could happen in a robot over hours.
If you don't want to lose any trades then, use hedging. That's mean open the same position, but in the opposite direction, till the market is calm down and you can see the real trend. I must confess that I have a little trick to recover my lose..and that is : + with - = 0 or +
good luck!