Jan Viljoen wrote:I think I am totally losing it. Maybe just what I need to start trading again.
If some of the older hands would please spare me 5 min of their time to look at what I am seeing, saying and please tell me if I have lost it.
I lost a lot of money in my attempt at becoming a trader and haven't traded since November 2008. During these last couple of months I have been reading looking and seeing a lot in an attempt to...
1) Regain my confidence
2) Look for a system that will suit my trading personality.
One of the reasons why I lost a lot of money is that due to my work circumstance I can not monitor my computer all day and then I would miss or enter to late on signals.
So I have been looking for a system that I can trade when I am in front of my PC and not have to wait for a couple of hours for a setup to form and then to miss it due to work or other obligations .
Open a 15min chart, or any time frame for that matter.
If you see a white candle place an order to go long 1 pip above its high.
The opposite for short.
The only rules is not to trade against a strong trend (Subjective) and a white candle with a long wick and a black candle with a long shadow are not valid candles.
Move stop loss to break even asap.
The idea of this is to get a quick 10pips at a time.
please let me know that I am crazy
Ps only trade in market hours
Lesson 1: Stops are for risking money not for breaking even so do not move them. Either take a profit or take a loss, but do not be the guy that gives some one a better price to enter.
This brings us to money management:
1: If you wish to live then follow these steps:
1. Trade micro lots until you can make 1,000 pips in 200 trades.
2. Risk 1% until you double your account.
If you follow these 2 easy steps then it is nearly impossible to ever run out of money.
2: Every person is willing to spend money to make more money, but few are willing to spend time to make more time; time and money go hand in hand.
"So I have been looking for a system that I can trade when I am in front of my PC and not have to wait for a couple of hours for a setup to form and then to miss it due to work or other obligations."
3: Don't force a trade because you "need" one. If you only have an hour then wait 45 minutes for a trade and if you only have 15 minutes then...well clean the house or do some thing more productive.