Welcome to NexusFi: the best trading community on the planet, with over 150,000 members Sign Up Now for Free
Genuine reviews from real traders, not fake reviews from stealth vendors
Quality education from leading professional traders
We are a friendly, helpful, and positive community
We do not tolerate rude behavior, trolling, or vendors advertising in posts
We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community. It's free for basic access, or support us by becoming an Elite Member -- see if you qualify for a discount below.
-- Big Mike, Site Administrator
(If you already have an account, login at the top of the page)
Thinking about my trading plan for next weeks, I can see that sometimes I miss huge winners by going with small profit target. So I will try following next week:
1. Use two lots with 6 ticks stops
2. Use 12 ticks tp for 1 position and 100 ticks tp for another position - a runner
3. Don't trail first position, trail only second position using high/low on 2m chart, start after a first decent candle closed favorably on 2m.
4. Only opt to close manually if price did a false breakout and returned to range, look to minimize damage.
Trade to live. Not live to trade.
Can you help answer these questions from other members on NexusFi?
You are right about missing the huge winners with a small profit target. Before you implement this strategy across the board there are a few things you can do to make sure the odds are better for you.
1. Looking at the reason for the breakout. If it is a trend continuation or if the stops that cause it are caused at the end of the trend ( the screencast video that you shared recently about stop hunting was focused mostly on stops put by people going in the direction of a trend that get stopped out when a a reversal happens)
2. Something that I have huge issues with is just holding on to winners - especially as I do focus on the whole day range as a possible target. You should be sure that you keep your stop and profit taking in some sort of balance and make sure that you know what your target looks like. That might not be a solid number of ticks but it could be something like exhaustion signs.
If you have 5 tick stops but never take 10 tick profits then you can be stopped out 5, 6 , 7 times (meaning now you need 3 big trades to get out of the hole) and the weight of this will cause you issues. This can of course work because your instrument can have 100 ticks runs easily. It will only work if you don't get gun shy on the 7th or 8th trade !!!!!
Changing your strategy in terms of targets and stops is something you should look at .. but my suggestion would be to incorporate some sort of trend filter and only let them run in the direction of the trend.
Hey Podski, thanks for your post. I did not post my setup details here, only the entry technique for this practice account trading, but basically I did not use it for any stop hunting trading, this setup is clear and hardly need any improvement in terms of trading on demo, it's more about execution improvement and reading order flow.
The setup I trial now is generally a breakout of tight consolidation inside the wider range or in a trend direction for a clearly trending day. In any case it is in a direction of sentiment and prevailing order flow. Basically it is a finer version of my large candle trading setup, I just replaced large candle with strong sentiment/flow and use small range as a way to narrow my entry and use tight stop loss. I will keep looking on how to jump on those runaway moves, by entering on small pullbacks that break. Risk here is small but the plus side can be huge. Also slippage should not be an issue.
For stop liquidation setups, the best option is actually having a larger target but fast trailing stop to be out before it pulls back. Fixed targets have little value as it's very hard to know how far it can go. Important is to protect entry and tail some right away as many times it will go 10 ticks or less on those weak participation days, so important is not to lose there. So these setups I plan with 3 ticks stop even live, because if it goes back it means the premise is wrong and there is no liquidation.
There is an issue with T4 having very slow trail stop, it updates once per 10 seconds, I will have to practice to be a very fast mouse clicker instead
Trade mini-breakout setups and stop hunt setups with following parameters:
1. Use 6 ticks stop for both mini-range breakout and stop-hunt
2. If breakout fails or order flow weakens before hitting the liquidation level - opt to flatten manually before the stop is hit, same applies if after fake-out price is stuck in negative territory
3. Use two contracts, both 6 ticks stop, and default 12 ticks target (default setting in T4 contract), however, once position is open or at least OCO submitted look to move target on one contract into a range achievable without experiencing a pullback, i.e. within one standard deviation on 1 minute chart and within Keltner channel deviation, usually it will be 6-8 ticks, and remove a target on second one and leave it to trailing on 2 minutes chart using highs or lows of candles.
This way I should avoid multiple stop outs or break evens when volatility and participation is simply too weak for my fixed targets like it was in case of 15 ticks (I had multiple 8-9 ticks winners that rapidly came back), and allow for good rides on strong movements with no artificially imposed target. This is not ideal setup, I am not a proponent of scaling out as it only reduces profitability, but having a max number of losses as 3 in a row per day and relatively tight weekly loss limit, one needs to compromise ultimate profit for the smoother equity curve. Also it is much better for the psyche to get profits more regularly.
appreciate your narration and wish the best for your climbing higher.
pls do keep us posted, if you have time and desire to, each day you trade whatever, K?
also are you at liberty to tell us in some concrete details, regard the funding.
i have been curious to find out, particularly the limitations as to what limits have been set for you as to: 1--instruments you are allowed trade? 2--how much have you spent on this program before you are where you are now? 3--at which point would you be declared, undesirable or not meeting their requirements? specifically, how much money in terms of dollars and cents in comparison to what you already paid in, to kick start your funded program with them?
hope you'll be frank and straight forward in your response to us members of bmt.
i was not able to get straight forward answers for a long time regarding the funding et al.
@nakachalet
Hi, thanks. I believe if you would have been following TST related topics all your questions would be answered. I believe some of your questions shows you did not study their website that is quite clear with information you are seeking.
But here it is in a nutshell:
1. There is a list of permitted products on their website. You select those you want to trade in Combine. This is what you will trade in LivePrep and also live once you passed and while in Junior Trader phase. For me it is gold.
2. I paid 400 usd to enter the Combine and got it all back once finished the LiveTrader Prep. So for me monetary cost is 0. Only my time and efforts but since they improved my trading a lot, this is an asset, not a liability.
3. I don't understand this question. There are very precise rules, when they are broken by trader he goes back to Combine. You can see them on their website, in a sample trading plan for junior traders. And they do make sense to me.
for your info, i did read their enticing ads many months ago and eagerly sought clarification and assurance. there were also many live calls placed to me seeking my participation but it was not 400 usd for sure. it was more like three times that amount just to buy their materials.... lol
your candid response would help several other traders around here and perhaps several more who visited bmt infrequently.
you did say that it only costs you 400 usd to participate from the beginning to the point where you are now, receiving funding and all?
you did not pay any more than the 400 usd all inclusively, correct?
if what you said is factual in terms of dollars and cents, then newbies should flock to them. 400 usd to learn how to trade profitably and consistently, is really a small sums to pay.
you wanna ascertain that again so everyone on board here would get the fact straight, especially myself and my perhaps faulty memory?
and all the best to you.
will follow your progress as you report it here, with intense interest and thx again for posting.
AND since their lead traders were not willing to show even once during my conversation with them as to where (not how--which might be a closely guarded secret) their entry and exit were on their live trading chart. would you be willing to show us a pix or two of your own trading screen, perhaps so as to quiet many critics abound. thx again.