Gotten stop out from a trend for a couple of times!

As above. Saw the GBP/JPY was going for a downhill and went for it. Gotten a bit too greedy and trying to practise traditional forex trading using “practise” stops. But funny thing about stops is that they seems to hit you and went a few pips higher but going with the trend  for next few hundreds pips again! (*^*&%^%

And there is another thing that i have noticed is close time for the London market as the big boys might not pump in any further. Overall, i could have gotten at least three hundred pips if not the stopout and london closing time.

+19 (stopout)

+0 (stopout)

+ 29 (gotten out early as it could get stopout as well)

Based on the experiences:

Principles of trades (addition):

1) Close trades when not monitoring. Especially after London time 16.30pm

2) Quick & steady profits is the key. You cant pocket something that you still have it in open which might turn around against you. Dont be greedy.

3) Always monitor trades and dont practise stops. Have game plan of “when and where” to close it when it turns bad. That is to pre-visualise.

back to slow start.

Hit a trade and got 43 pips profit from it. Didnt proceed any further as it is hovering a potential double bottom. Unless the price attempts again and confirm a trend reversal, i would not know which direction to take.

Finally it went out and never came back!

That is talking about my profits. It went straight out and never came back.

Got into a trade in the wrong trend direction, martingale it and nearly took the full blow of almost USD$1.2k . Did some damage control and manage to minimise the loses to USD714.45 . Now my account is back to 2.7k instead of 3.4k. So boring!

I knew the price is rubbing twice on the Bands(20, daily, middle) and later in Bands(20, 4hrs, middle). Indicating the down trend, and yet…. alas  gunslinger has done it again. Fast to draw and fire but no aim.

Again…. principles of trades:

1) Check COT for overall big boys directions.

2) See overall trend with daily and weekly.

3) See minor trend with 4hrs.

4) See if there are any potential S&R in all timeframes to watch out for strong battles between bears and bulls. If need be, wait for the concluding results

5) Watch for strength in price movement.

6) Enter trades for martingale only if:

• upon viewing that the overall trend is still intact.
• 6x 25pips difference in interval (excluding spread).
• Maximum damage allowable is 15% of (total account – base).

2010Feb22 Didnt push hard enough?

Did some trades on Friday and Monday. Perhaps i didnt push hard enough for trades…..aka chasing trades…. *cough cough*

-5

+17

+30

+13

+25

-12

+15

Total:  83pips or USD 81.65 for these two days of lacklustre trades.

The prices seems to be paying respect to the Bands(20, daily, middle), having to touch it twice and later in the week, giving respect to Bands(20, 4hrs, middle) twice as well. Looks like the pricing and what was given as the futures pricing went different directions. The CME JPY is going down however, the movement for CME GBP is even more down than the JPY which might indicates why the GBP/JPY is in downtrend currently. Looks like i need more than to disgest this futures thingy and see how i can incorporate it into my trading.

Mistakes and more mistakes.

Made a couple of mistakes and discovered some findings.

1) never follow the rules of implementing painless martingale of 6 trades at 25 pips interval.

2) even the bias might be long as in daily, always look out for 1hr and 4hr for signals as they always lead changes in trend. Dont key in trades blatantly in the trend bias until confirm with shorter time frame.

3) discovered that taking quick profits from the latest martingale trades might not be a good idea as any pullback might not always result in double bottom or top. It might just go straight up if the strength and the momentum is there for the reverse in trend.

4) Must find a painless way to do quick exit when the early trending is not in favor. Doing these martingale trades really stresses me out.

Saw the daily looks good for long trades.

Only to discover the trending patterns started to change with bias towards downtrend in 4hrs and 1hrs.

Stubbornness and foolishness prevails.

Results: 277 pips or USD243.63

Chicken hearted.

Did some stupid trades today and felt chicken hearted for some of the earlier ones……… What could the worst be happening? Just losing some monies instead of losing one’s guts for some short term gains.

Here is the results:

+15  (part of stupid trades)

-5 (part of stupid trades)

+3 (part of stupid trades)

+63

+52

total:  128 pips or USD 112.79

Temptation

I was very tempted to go against my trading rules and up to the leverage up to 1.0x as i was damned sure of the direction it was heading. But……. i just need a stupid mistake or greed to blow my account again. I have to stick it up to my guts and follow the plan, regardless of how painful it might be.

CNY celebration with YSS friends.

Went for CNY celebration at friend’s place. We are a group of old friends who have common interest in photography that goes way back to ……. at least 4 years. We had laksa and fried nuggets with different spicy sauces. We gambled and i won some. Been lucky for most games…… not sure whether it got to do with my quitting of job back in Sept as i have never been lucky before.

The stupid warm weather was giving me a headache or was it those beers……

Came back at 8pm (12pm london time), did two trades at 9pm and finished at 11.30pm and called it a day. Results:

+27

+37

=64 pips or USD56.8

These few days have been slow….. i need to keep it up in terms of pips performance.

Slow day. All celebrating CNY?

very slow day. Got some news on JPY going down and GBP going up so GBP/JPY should logically go up.

Click Daily for both GBP and JPY’s Electronic session charts and quotes. You would see MACD signals for both.

http://futures.tradingcharts.com/menu.html

Today’s result:

+12

+25

+50

+14

=101pips or USD 68.28

I have hit the next leverage of 0.08x

Some new ground rules.

After my brush with bad trading earlier today, i have decided to change some of my rules for less stressful trading.

– instead of every 20 pips, 25pips difference will be for every martingale trades.

– limiting the maximum number of martingale trades to 6. So effectively, i would have up to -150pips for the worst performing trade in that set. Instead of panicking once i started to reach 130pips for the old rules as i could have as much as 15%-20% of the total holding in deficit.

• 25 pips difference to 150pips(max stoploss limit)= 525pips = 15%
• 20 pips difference to 150pips(max stoploss limit)= 640pips = 20%
• for every martingale set, i would just need to hit back slightly more than 50% to break even. But more trades would make the Take Profit easier during pullback.

Possible try out for:

Hedging strategies-

• initial entries for long and short together.

Martingale strategies –

• closing and re-entering for pullback. Only if there is pullback, that would be maximizing the profit potential. But if there isn’t any, the profit margin would be substantially reduce as the latest martingale entry tends to have most profit taking in the set.

price action –

• to look for strength in momentum during the moving average crossover instead of just looking at crossover.
• Be aware of the double top and double bottom
• look for big boys movement in volume as they tend to have strength and extreme volatility (during pullback).
• look for signs for trend weakening
• double bands upper and lower limits can be violated which signifies new trends in the bigger timeframe.
• Watch out for the end results of the big battles at key strategic locations. Who has won the battle?….. the bears or the bulls?
• Dont be greedy. hit and run!