Hmm, well, I don't know if I would say anywhere, but I have found with my longer term trades that I don't need to stare at the screen for an hour + and try to nail an entry to the penny to be successful. I might be able to squeeze out extra return by refining my entries, but then again, I might just get squeezed more instead. I guess you could say I have given up trying to get an edge at the micro level (short term) for now and I am just settling for the profit I get at the macro level (full trade length of 2-10 days or so). I have a big chunk of free time coming up so I will probably try to work on my entries a bit just for fun if nothing else, but I rather enjoy the fact that I can just look at the market for 20 minutes a day to adjust positions and then spend the rest of the day doing something else.
One of the reasons I like Position Trading
- Thread starter Buy1Sell2
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Hmm, well, I don't know if I would say anywhere, but I have found with my longer term trades that I don't need to stare at the screen for an hour + and try to nail an entry to the penny to be successful. I might be able to squeeze out extra return by refining my entries, but then again, I might just get squeezed more instead. I guess you could say I have given up trying to get an edge at the micro level (short term) for now and I am just settling for the profit I get at the macro level (full trade length of 2-10 days or so). I have a big chunk of free time coming up so I will probably try to work on my entries a bit just for fun if nothing else, but I rather enjoy the fact that I can just look at the market for 20 minutes a day to adjust positions and then spend the rest of the day doing something else.
M view is this when you have a lot of money (in millions), and you cannot move in and out of the markets then you can position trade. But, when you have up to a mill in your trading account you can easly day trade and swing trade. This of course will bring greater profits if you know what you are doing.(the swing trading and the day trading that is).
Cheers,
Happy NEW YEAR.
Cheers,
Happy NEW YEAR.
What I would add is that you can daytrade much more than $1m account, just ES can easily handle a lot more than $1m and let's not forget money management, you can have $100m doesn't mean you would be committing 100% equity. Also there is no problem trading more than 1 market. But what I agree on is if you are managing let's take $10m as an example and participate in 10 markets, then positional can be a better choice for some for quite a few reasons.
Position trading and daytrading are 2 completely different animals, yes the longer time frames offer greater scalability but the intraday allows for much tighter risk controls, allowing for larger position sizes relative to the account.
It's nice when you're in a position trade and the market suddenly goes into trend mode over a week or so, feels like easy money, but you'd be surprised how much you can also make on a seemingly tight or range-bound series of days catching the turns in both directions.
It's nice when you're in a position trade and the market suddenly goes into trend mode over a week or so, feels like easy money, but you'd be surprised how much you can also make on a seemingly tight or range-bound series of days catching the turns in both directions.
Great questions. I hope the OP is responsive to you; he certainly has peaked my curiousity so far.
He is a "trader "for about 20% of his accounts, all of which have made various amounts. The 20% of his money in trading has made 80% he says.
I did what you are talking about in the early 60's onward for ten years.
let's see what he has to say.
A trader must first learn or be taught to position trade. Then provided they have been successful, the trader who desires to can look at trading shorter frames to enhance their returns on existing position trades. Learning to position trade first helps a trader to recognize that they should always look at the bigger picture even when drilling down to the short frames. In addition, most traders will never be nimble enough to strictly daytrade, so it's best that most never get down to the very shortest frames.
As regards my yearly returns, I net 50 to 80 percent per annum with 2004 being an unusual 145%.
As regards my yearly returns, I net 50 to 80 percent per annum with 2004 being an unusual 145%.
Here we have a situation where I am already positioned long in the Euro FX, while somewhere (probably many many somewheres) there are traders craning their necks looking at their screens sideways to try and figure out if they can get in long or they should be short. --Position trading will catch the bigger moves with much much less stress.-- Does this mean that the Euro FX will continue upwards or will I have my head handed to me? I don't know, but I am long and not chasing the market and that is the beauty of the position trading philosophy.
Well congrats on being long, but the corrolary to that is if one was short the euro as a position trade the market just gapped against him about 70 points over the weekend. Position traders (especially currency traders) experience much more volatility either way in holding longer timeframes, so it's a double-edged sword.
