Intraday Risk:Reward ratios for ES/NQ

[Remiraz]

What are realistic Risk:Reward ratios for ES/NQ, assuming we want a Reward > Risk system.

Is it possible still to get higher than 1:3 Risk:Reward trades with any kind of frequency nowadays? (say 5 or so in a month)

Is 1:4 realistic? 1 NQ pt loss vs 4 NQ pt gain...hmmm.

 

[milstar]

Dear Ramirez

Best way to perform more as 10000 paper game operations
for 3 years . For this time you would find some ,what suited
to your risk/reward relation .

you can contact www.markdcook.com also

 

[NihabaAshi]

Quote from Remiraz:

What are realistic Risk:Reward ratios for ES/NQ, assuming we want a Reward > Risk system.

Is it possible still to get higher than 1:3 Risk:Reward trades with any kind of frequency nowadays? (say 5 or so in a month)

Is 1:4 realistic? 1 NQ pt loss vs 4 NQ pt gain...hmmm.

Most successful traders I know don't use risk:reward ratios.

However, they are heavy into money management, risk control and/or positions size management.

NihabaAshi

 

[Remiraz]

Quote from NihabaAshi:

Most successful traders I know don't use risk:reward ratios.

However, they are heavy into money management, risk control and/or positions size management.

NihabaAshi

I see...thanks.

 

[coolweb]

Remiraz,
To answer your question NQ Futures

Yes 1:3 is possible,

Usually for me its around 1.5 Stop , 4.5 Reward



.5 For slippage, so

2 points Stop, 4.5+ Reward


If It doesn't have this type of reward, such as
1 point away from a pivot point, I won't trade it.

 

[Remiraz]

Quote from coolweb:

Remiraz,
To answer your question NQ Futures

Yes 1:3 is possible,

Usually for me its around 1.5 Stop , 4.5 Reward



.5 For slippage, so

2 points Stop, 4.5+ Reward


If It doesn't have this type of reward, such as
1 point away from a pivot point, I won't trade it.

The slippage/spread/comms really act like the House Edge doesn't it? 1.5 to 4.5 is 1:3. But adding spread/slippage/comms it becomes 2 to 4.5 or 1:2.25.

 

[coolweb]

Pretty much,
Either you SCALP where your risk is tick for tick

Or you expand your risk reward so it pays for the commissions,
In the futures trading , Just entering a trade, you've just lost $50 with a 1.5 point stop ( 3 ticks).

As they say futures trading is a losers game NEGATIVE sum.