Hi, I have been scalping the US treasuries for a while now and have been having mixed success which is generally due to poor risk management. My trade location ideas seem to be working and I consistently find good trades using mainly volume profile and monitoring any divergence between the movements of ZB,ZN and UB, however I always seem to blow profits by letting one trade go too far beyond my risk limits. My need to improve risk management has led me to the following idea which I would like a sense check on if possible as I haven't seen much like it on here... essentially my plan is to scalp into all trades looking to mostly breakeven if the trade does not immediately go my way. This will involve me being very quick on my DOM but my thinking is that I will only let trades run that have immediate momentum - please do let me know if there is some factor that I am not considering here as it sounds great in my head lol! Thanks all!

Stacktrades 

Hi, I have been scalping the US treasuries for a while now and have been having mixed success which is generally due to poor risk management. My trade location ideas seem to be working and I consistently find good trades using mainly volume profile and monitoring any divergence between the movements of ZB,ZN and UB, however I always seem to blow profits by letting one trade go too far beyond my risk limits. My need to improve risk management has led me to the following idea which I would like a sense check on if possible as I haven't seen much like it on here... essentially my plan is to scalp into all trades looking to mostly breakeven if the trade does not immediately go my way. This will involve me being very quick on my DOM but my thinking is that I will only let trades run that have immediate momentum - please do let me know if there is some factor that I am not considering here as it sounds great in my head lol! Thanks all!

This won’t work because you need to be breakeven , that need is why some trades go to far against you … I don’t know the strategy or you risk reward but if breakeven is part of the strategy as a retail trader scrap it … figure out why you need to be breakeven


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Thanks for the reply! Although not sure I've been clear enough, so what I mean is I will cut any trade that doesn't immediately go my way at break even but will still let winners run... is that how you interpreted it as well? I'm thinking my risk to reward on scalps would therefore be 0:4 (not including commissions) and 1:4 at worse if I miss break even and take a 1 tick loss

Stacktrades 

Thanks for the reply! Although not sure I've been clear enough, so what I mean is I will cut any trade that doesn't immediately go my way at break even but will still let winners run... is that how you interpreted it as well? I'm thinking my risk to reward on scalps would therefore be 0:4 (not including commissions) and 1:4 at worse if I miss break even and take a 1 tick loss

Very sound technically but I have found in my trading the amount of winning trades that turn into losers because of very tight stops usually makes the risk reward obsolete


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Hard to say without knowing what you are doing, but I have a hard time discerning when one side will overwhelm the other side. Without knowing this, price almost always returns to my entry point, as a function of big money continuing to seek liquidity or just noise. For me it's better to split, and take profits on part, then keep stop behind the recent swing on remainder. If you haven't, I would at least try it in sim and compare.

Stacktrades 

Hi, I have been scalping the US treasuries for a while now and have been having mixed success which is generally due to poor risk management. My trade location ideas seem to be working and I consistently find good trades using mainly volume profile and monitoring any divergence between the movements of ZB,ZN and UB, however I always seem to blow profits by letting one trade go too far beyond my risk limits. My need to improve risk management has led me to the following idea which I would like a sense check on if possible as I haven't seen much like it on here... essentially my plan is to scalp into all trades looking to mostly breakeven if the trade does not immediately go my way. This will involve me being very quick on my DOM but my thinking is that I will only let trades run that have immediate momentum - please do let me know if there is some factor that I am not considering here as it sounds great in my head lol! Thanks all!

Can you do an analysis of the trades that have gone against you vs, those that have gone in your favour? then use those stats to device a R/R setup that has an edge ?

so for example, that could mean having a fix stop loss instead of mental (which i guess you must be using right now).