I believe that most if not all human's have to varying degrees a of fear(s), and greed that impede their success as traders (and probably elsewhere in life). The degree and kind of emotions certainly vary within different arenas within each of our lives.
When it came to trading, it took me some time to realize that fear was indeed a huge impediment to my become one who would consistently follow any method, as long as the fear passed my "tolerance" level.
So I set out to find that level. As it turned out I got anxious at -2.00 - and really stressed above -3.50 sp pts.
So I began working to see if I could create the a method that "eliminated the "fear factor".
So the method developed had part (1) in every trade I enter I immediately set a stop at -3.25, and as early in the trade that I feel appropriate I would reduce the stop to -2.00.
As time passed and success and statistic continued to mount, I found that especially in narrow range areas I needed to use a -2.50 stop to keep in the trades, then I found that using a reversal at brkeven stop would rotate me around a price until I caught the move that would ultimately unfold after the congestion end.
I keep adjust my indicators, and finally found a pair with "my own" specific setting that helped a long way in giving the "edge" I really needed to help out in these narrow range periods.
I find after using this method now for over 4 years the results are superior to anything else I'm aware of
and "fear" never enters my trading.
While here, I feel it is appropriate to mention the "greed" factor as well. As I found that also played a large roll in my trading.
I found that seeing the market move quickly in my direction elicited both excitement, and great expectations. Too many times I let a nice profit vanish into a breakeven, or worse, stop loss.
So I set out to find a "magic" number that within my method yielded the highest return over time. I'm not good at "testing" as I know very little about to use the software I have correctly, so it literally took hundreds of hours reviewing past charts and trades to come up with a range that seemed to work. Then I began tracking it as I traded live. The range was 2.50 to 4.50 points.
After keeping careful records for another 6 months it narrowed to 2.50 to 3.50. So most of my initial target exits became 3.00. Over time, and as confidence grew I began to add a little more "objectiveness" into my method which to allows for stops from -3.25 to +150 as the trade progresses, and allows me to take when I believe I strong enough evidence to do so.
But should I allow for a profit exit greater than 3.00, it also requires that I set my stop at a least +0.25 to -1.50 - I will never again let a +3.00 turn into a net loss over greed!
I hope the above proves helpful to others. I"m sure there are many ways too "manage" our fears, greed, and every other aspect of our likes. I merely present what worked for me.
Live, learn, grow, prosper!
God wants his children to be happy!
Please feel free to PM me, I'm happy to try to be of help if I can. Or email mail me as I may not be on ET very frequently.
When it came to trading, it took me some time to realize that fear was indeed a huge impediment to my become one who would consistently follow any method, as long as the fear passed my "tolerance" level.
So I set out to find that level. As it turned out I got anxious at -2.00 - and really stressed above -3.50 sp pts.
So I began working to see if I could create the a method that "eliminated the "fear factor".
So the method developed had part (1) in every trade I enter I immediately set a stop at -3.25, and as early in the trade that I feel appropriate I would reduce the stop to -2.00.
As time passed and success and statistic continued to mount, I found that especially in narrow range areas I needed to use a -2.50 stop to keep in the trades, then I found that using a reversal at brkeven stop would rotate me around a price until I caught the move that would ultimately unfold after the congestion end.
I keep adjust my indicators, and finally found a pair with "my own" specific setting that helped a long way in giving the "edge" I really needed to help out in these narrow range periods.
I find after using this method now for over 4 years the results are superior to anything else I'm aware of
and "fear" never enters my trading.
While here, I feel it is appropriate to mention the "greed" factor as well. As I found that also played a large roll in my trading.
I found that seeing the market move quickly in my direction elicited both excitement, and great expectations. Too many times I let a nice profit vanish into a breakeven, or worse, stop loss.
So I set out to find a "magic" number that within my method yielded the highest return over time. I'm not good at "testing" as I know very little about to use the software I have correctly, so it literally took hundreds of hours reviewing past charts and trades to come up with a range that seemed to work. Then I began tracking it as I traded live. The range was 2.50 to 4.50 points.
After keeping careful records for another 6 months it narrowed to 2.50 to 3.50. So most of my initial target exits became 3.00. Over time, and as confidence grew I began to add a little more "objectiveness" into my method which to allows for stops from -3.25 to +150 as the trade progresses, and allows me to take when I believe I strong enough evidence to do so.
But should I allow for a profit exit greater than 3.00, it also requires that I set my stop at a least +0.25 to -1.50 - I will never again let a +3.00 turn into a net loss over greed!
I hope the above proves helpful to others. I"m sure there are many ways too "manage" our fears, greed, and every other aspect of our likes. I merely present what worked for me.
Live, learn, grow, prosper!
God wants his children to be happy!
Please feel free to PM me, I'm happy to try to be of help if I can. Or email mail me as I may not be on ET very frequently.
