ES Journal Archive (2006 - 2008)
- Thread starter Buy1Sell2
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Mins,
Maybe another way at looking at this thread is simply as an exchange of ideas and opinions and forget the posted trades.
Occasionally something comes up from a Poster that reinforces the direction in which you are traveling, or gives you a lightbulb moment that kicks your lateral thinking into gear.
This week I have not been trading but come monday my new PC setup will be ready to roll and you will not hear from me.
I cannot trade my strategies (lineal thinking) and at the same time be posting
my thoughts here at ET(lateral thinking)
The best of luck to those who can, but I am certainly not amongst your ranks.
regards
f9
Firstly i am not implying you are the trader i was talking about in my post.
Secondly i never said anyone comes back victoriously i am simply implying without hard stop most likely the move which hits a stop out zone will often be a 2-3 point bar.
In that case do we believe that traders without hardstops simply wait for price to pull back a little before stopping themselves out? Or do they take the bigger stop?
Without hard stops it is inevitable you will experience the 3-4 point losses as a 1min price bar will often rip through by that amount.
Ya i hear you. I am not a big poster here because mainly it diverts my attention from the screens.
Just a little annoying and repetitive after a while certain traders claiming the exits they get - last you will hear from me on the topic, if readers want to believe these traders get these amazing exits then so be it.
1. My soft stop would range from 1.5-3 points down;
2. If I run a total of -10 points for any given day consisting of multiple losing trades then why can't you assume that that total loss can't be equal to another trader's loss in 1 single trade?
3. Please re-read Lawrence Chan's post, it is small yet bang on the money
"..............i am simply implying without hard stop most likely the move which hits a stop out zone will often be a 2-3 point bar. " I don't understand what you mean here
I think your missing my point. All i was concerned about was someone risking small amount like me usually 2 pts then without a hard stop i know this risk can turn to 4pts quite easily.
I am talking about a single trade here. There is no way certain people are getting the exits they claim imo.
Example, you have a long entry, and stop zone is 1.5-3 points lower. Trade moves no where and then a single 1min bar rips down 4 pts.
At what point does you soft stop get hit. Do you wait for price to move up slightly and get a favourable exit or do you use you soft stop immediately and exit at -4pts.
Also, how do you exit, do you use a limit order? All factors considering slippage will cost you even more.
This is simply what i am getting at. I can understand completely traders who use wide 10-15 pt stops using a soft stop.
So if you can withstand 30 handle move against your position based on whatever event that MAY take place & by saying that justifying canceling your initial hard stops, then why would you question my usage of soft stops? Maybe I haven't made myself clear, like most rational people I do subscribe to the code of protecting capital. Of course I do have an ultimate stop where any trade is stopped out, but like Mr Chan has said, these stops are emergency stops.
I think some people, not you personally, discount money management. There are traders that regularly put all their eggs in 1 basket by overcommiting to 1 trade, I don't do that.
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