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Global Macro, Quantitative, Value.

Well it could be that you do not have a complete grasp of FX fundamentals yet... Besides, TA is a very grey area in the field of finance. With not much overwhelming conclusive evidence as to whether it really works. I would approach TA with a grain of salt.

Im not sure if it can be agreed that majority of the crowd are non-believers... The retail trading community is noctorious for "pure technical" traders. If you ask me, I would actually say that majority of the crowd are non-believers of fundamentals.

Erm, wont that make the drop worse? If anything they should be looking to sell at technical areas where people are likely to buy. This will provide the much needed liquidity to get rid of their position without moving the markets much.

This is interesting. I truely have no clue one what that sentence might be. But IMO ill tell my traders to break up the orders and avoid moving the markets.

Erm... You do know that you can still access the charts even when markets are closed right?

It also means more oppotunity to lose

Bruh, nobody said PRM is not important for traders. What we are arguing is that PRM is NOT an edge. Your actual trading strategy/skill is. PRM is simply "sizing your trades" such that the volatility of your performance is within tolerable range.

Taking your example as reference. How would you know if prices will move to your 4 point profit target? What if it never reaches the target? Or lets say you place a 2 point stop loss. How would you know prices will hit your profit target BEFORE hitting your stop loss? And how would you know with...

1. Those are simply quotes and not evidence of edge. 2. There is no reference in those quotes that PRM delivers an edge. 3. Whatever PTJ said are advice for traders. Those advice do not gurantee an edge. 4. I think you need to open yourself up abit here.

You are making a false and unproven statement. Prove it.

Not everyone can find good entries. That is where the edge is in.

Wrong. The edge is to identify and enter into the winning trades. PRM is simply a function of reducing your losses and maximising your gains. But if your analysis or strategy is poor, no amount of PRM can give you gains. It might help prevent you from blowing up. But it will certainly not give...

In that case. Try using purely PRM to win in poker. I assure you it is near impossible. There is more to poker (and trading) than just sizing your bets. If PRM indeed has an edge. The top poker players will simply be the ones whom are able to perform mental arithmetics best.

I shall use my previous analogy to dispute your point. Go to a casino. All gamblers have a winning percentage above zero. Try using PRM to make money. Good luck with that.

Wrong. Irregardless of whether a trader follows PRM or not, one cannot deny skills and/or a winning strategy is required to profit from the markets. Without those, no amount of PRM can make a trader profitable.

What you have described has no mention or reference to "edge", nor does it prove that PRM is an "edge". To add support to that statement. Imagine a hypothetical situation where a particular trader keeps getting his trades wrong 100% of the time. Would you agree that PRM could save him from...

Our closest reference is Japan, followed next by Europe. Both have implemented negative rates successfully thus far. It is my concern as well as the concern of many others thats US may not raise rates high enough in time for the next recession. IMO, this limits the feds option next to perform...

Considering that bond yields are at all time lows, relative to history. It might be a possibility. But IMO is is very unlikely we will ever get too far from current levels. And in the future, we might even go into zero or negative rates!

I think perhaps there might be difference between everybody's definition of what "Prudent Risk Management" is. Maybe that is where all the disagreement stems from? I'd just had a quick skim through the thread so forgive me if im wrong. But i guess for most of the people that replied here, PRM...