ProchargedMopar's Trading Trilogy

free & uncensored discussion arena for TheRumpledOne

Moderator: moderators

pierre23
rank: 150+ posts
rank: 150+ posts
Posts: 313
Joined: Thu Oct 09, 2008 3:17 am
Reputation: 0
Gender: Male

Postby pierre23 » Mon Jul 13, 2009 3:05 am

Hi Shinobi,

Also, lower TF leads higher TF and Tick leads TF not the other way around.


lol, I wasn't suggesting that the higher timeframes make up the lower.. I know that ticks make up the higher timeframes. I was implying that his downfall in trading the M1 could be at a psychological level. Where he may panic and see profit turn into loss on a M1 timeframe and close the trade prematurely (either in small profit, or loss).

Now in a higher time frame, be it 5min all the way up to 4hourly, he may be able to SEE the market differently. What may seem a big push in price against him on the M1, may just look like a little nudge on the higher time frames (again, I'm talking on a psychological level here).

Other reason is it is safer to trade lower TF because there is no need to hold the position overnight (lowering the exposure risk).

Holding a position using higher TF as a base means losing multiple entries in lower TF IMHO.


I don't agree with you here. Trading the 5min to even daily doesn't necessarily mean you have to hold the position over night. I trade the higher time frames and I haven't had one trade that's rolled over. Also it also doesn't necessarily mean lower risk exposure, because you're in and out of the market all the time so you're risking ALL the time. I look at pro's trading history and I see 10-30 trades. If I were to past you mine you'll see 2, max 4 trades a day, hitting my targets and staying OUT of the market as much as I can. Remember you can lose just as much and just as fast as you can win.

Also, having a position based on a higher time frame doesn't mean you're losing multiple entries. There's nothing to stop you from entering as many positions you want, on any time frame just because you're basing your direction bias (short or long) on a higher time frame.

But, each to their own. I'm not saying DON'T trade the M1.. hey, you may do it and be a multimillionaire :wink:. I'm just observing and giving my two cents

Please add www.kreslik.com to your ad blocker white list.
Thank you for your support.

User avatar
Shinobi-X
rank: 50+ posts
rank: 50+ posts
Posts: 95
Joined: Mon May 18, 2009 2:38 am
Reputation: 0
Location: SOHO
Gender: Male

Postby Shinobi-X » Mon Jul 13, 2009 5:28 am

Spot on, pierre23. I agree with most of the things you said.

The thing that might differ from your opinion is entering the market all the time does not increase your exposure risk. Entering the market has the same risk whether you enter 2 or 10 times during 2 or 3 sessions. Because each trade you have is a mere replication of the same method over and over again. IMHO, use the same setup that you use on the 1st trade to enter on the 3rd or the 10th trade and if conditions are not met you don't enter, right? :wink:

That being said, I don't trade based on M1 and I'm still far from a fx multimillionaire status.
The gap between reality and dream is called action.

User avatar
monolisa
rank: 150+ posts
rank: 150+ posts
Posts: 351
Joined: Fri Jun 12, 2009 11:38 am
Reputation: 0
Location: All Quiet on the Western Front
Gender: None specified

Postby monolisa » Mon Jul 13, 2009 5:30 am

Personally I think trading is more about quality than quantity. However if quantity is the goal then you have to trade a lot to have a respectful profit. It is likely that you might get 10 loss out of 20 trades, but if you trade 200 trades you odds of winning would probably increase (provided that you know what you are doing and not throwing darts at the chart for entry/exit:))

I make my entry based on M3 chart and exit based on M55 chart.

Lis
"Know your enemy and know yourself, find naught in fear for 100 battles. Know yourself but not your enemy, find level of loss and victory. Know neither your enemy or yourself, wallow in defeat every time." - Sun Tzu

User avatar
prochargedmopar
rank: 5000+ posts
rank: 5000+ posts
Posts: 5545
Joined: Sat Dec 20, 2008 6:07 am
Reputation: 8
Location: Granbury, TX
Gender: Male
Contact:

Postby prochargedmopar » Mon Jul 13, 2009 2:44 pm

-12.3 London and NY sessions
Edit: took a few more trades...... -6.4 Total for 28 trades.
Man, just think how much the broker is making.......$4.6 a pop.

I'm like that other guy that just can't seem to get ahead.... Must need someone to hold my hand.
LOL

12965479 EUR/USD 30 S 1.39729 1.39719 1 3.00 0.00 7/13/2009 12:04 7/13/2009 12:33
12964059 EUR/USD 30 S 1.39730 1.39654 7.6 22.80 0.00 7/13/2009 11:36 7/13/2009 11:44
12964216 EUR/USD 30 S 1.39723 1.39654 6.9 20.70 0.00 7/13/2009 11:37 7/13/2009 11:44
12963942 EUR/USD 30 S 1.39627 1.39723 -9.6 -28.80 0.00 7/13/2009 11:34 7/13/2009 11:36
12960647 EUR/USD 30 B 1.39185 1.39398 21.3 63.90 0.00 7/13/2009 10:08 7/13/2009 10:32
12960666 EUR/USD 30 B 1.39219 1.39398 17.9 53.70 0.00 7/13/2009 10:08 7/13/2009 10:32
12961063 EUR/USD 30 B 1.39265 1.39398 13.3 39.90 0.00 7/13/2009 10:15 7/13/2009 10:32
12960469 EUR/USD 30 B 1.39246 1.39150 -9.6 -28.80 0.00 7/13/2009 10:04 7/13/2009 10:08
12960405 EUR/USD 30 B 1.39253 1.39157 -9.6 -28.80 0.00 7/13/2009 10:03 7/13/2009 10:08
12960080 EUR/USD 30 B 1.39319 1.39224 -9.5 -28.50 0.00 7/13/2009 10:00 7/13/2009 10:04
12959840 EUR/USD 30 B 1.39321 1.39229 -9.2 -27.60 0.00 7/13/2009 09:54 7/13/2009 10:02
12959990 EUR/USD 30 B 1.39365 1.39270 -9.5 -28.50 0.00 7/13/2009 09:58 7/13/2009 10:00
12959353 EUR/USD 30 B 1.39454 1.39359 -9.5 -28.50 0.00 7/13/2009 09:41 7/13/2009 09:54
12959264 EUR/USD 30 B 1.39515 1.39419 -9.6 -28.80 0.00 7/13/2009 09:40 7/13/2009 09:41
12958743 EUR/USD 30 B 1.39485 1.39552 6.7 20.10 0.00 7/13/2009 09:30 7/13/2009 09:32
12957508 EUR/JPY 30 B 128.935 129.098 16.3 52.88 0.00 7/13/2009 08:51 7/13/2009 09:00
12957612 EUR/JPY 30 B 128.985 129.098 11.3 36.66 0.00 7/13/2009 08:54 7/13/2009 09:00
12957348 EUR/JPY 30 B 129.087 128.995 -9.2 -29.86 0.00 7/13/2009 08:47 7/13/2009 08:49
12957290 EUR/JPY 30 B 129.200 129.108 -9.2 -29.86 0.00 7/13/2009 08:46 7/13/2009 08:47
12947262 EUR/USD 30 B 1.38990 1.39093 10.3 30.90 0.00 7/13/2009 02:06 7/13/2009 02:11
12947220 EUR/USD 30 B 1.39051 1.39015 -3.6 -10.80 0.00 7/13/2009 02:05 7/13/2009 02:05
12946148 EUR/USD 30 B 1.39206 1.39259 5.3 15.90 0.00 7/13/2009 01:12 7/13/2009 01:15
12946133 EUR/USD 30 S 1.39163 1.39206 -4.3 -12.90 0.00 7/13/2009 01:11 7/13/2009 01:12
12946116 EUR/USD 30 B 1.39196 1.39163 -3.3 -9.90 0.00 7/13/2009 01:10 7/13/2009 01:11
12945922 EUR/USD 30 B 1.39161 1.39161 0 0.00 0.00 7/13/2009 01:01 7/13/2009 01:10
12945877 EUR/USD 30 B 1.39176 1.39135 -4.1 -12.30 0.00 7/13/2009 00:59 7/13/2009 01:01
12945718 EUR/USD 30 B 1.39239 1.39147 -9.2 -27.60 0.00 7/13/2009 00:56 7/13/2009 00:59
12945649 EUR/USD 30 B 1.39261 1.39208 -5.3 -15.90 0.00 7/13/2009 00:52 7/13/2009 00:55
Total 840 -6.4 -16.98 0.00
#1BODY in direction of profit #2INCREASE lot size Obsessively
My Losses cause me Great Laughter!
Trading Bible here> therumpledone/the-ideas-that-i-trade-by-t3256/page1670

User avatar
prochargedmopar
rank: 5000+ posts
rank: 5000+ posts
Posts: 5545
Joined: Sat Dec 20, 2008 6:07 am
Reputation: 8
Location: Granbury, TX
Gender: Male
Contact:

Postby prochargedmopar » Mon Jul 13, 2009 4:53 pm

I know a couple things I'm doing wrong.....besides over trading.

I'm trading reversals instead of retraces.
I'm trying to pick tops/bottoms instead of going with the big money.

Evidence: 7 nine pip stops in a row!!
First 6 trades losers between -3 and -9 pips each.
#1BODY in direction of profit #2INCREASE lot size Obsessively
My Losses cause me Great Laughter!
Trading Bible here> therumpledone/the-ideas-that-i-trade-by-t3256/page1670

Please add www.kreslik.com to your ad blocker white list.
Thank you for your support.

User avatar
prochargedmopar
rank: 5000+ posts
rank: 5000+ posts
Posts: 5545
Joined: Sat Dec 20, 2008 6:07 am
Reputation: 8
Location: Granbury, TX
Gender: Male
Contact:

Postby prochargedmopar » Mon Jul 13, 2009 4:54 pm

JUST A NOTE:

I'VE HAD 5 CLOSED DEMO TRADES THIS WEEK FOR +291 PIPS.

INTERESTING.
#1BODY in direction of profit #2INCREASE lot size Obsessively
My Losses cause me Great Laughter!
Trading Bible here> therumpledone/the-ideas-that-i-trade-by-t3256/page1670

User avatar
foreman01
rank: 50+ posts
rank: 50+ posts
Posts: 100
Joined: Sat May 23, 2009 12:55 am
Reputation: 0
Gender: None specified

Postby foreman01 » Mon Jul 13, 2009 6:46 pm

...
Last edited by foreman01 on Mon Nov 16, 2009 11:29 pm, edited 2 times in total.

User avatar
prochargedmopar
rank: 5000+ posts
rank: 5000+ posts
Posts: 5545
Joined: Sat Dec 20, 2008 6:07 am
Reputation: 8
Location: Granbury, TX
Gender: Male
Contact:

Postby prochargedmopar » Mon Jul 13, 2009 10:26 pm

foreman01,

What I mean is that I'm trying to pick when he currency is going to reverse it's trend and trade in the "new" direction..........

THIS IS ALL WRONG!!!

When I sit down and SEE that price is dropping for instance......What in the hell am I doing going Long????

Again.
And again.
And again......

Damn, If I would just wait for a little retrace and trade in the direction of price the 6 nine pip stops would have netted me a MINIMUM of 42 pips..... (after subtracting spread ea. entry)
I actually got a "better" price each time so it would be more than that.

Not to mention that price travels much further in the trend direction after a small retrace than it does trying to ride the "small" retrace in the other direction. Each entry would net more profit.

MightyOne says:

If you can see LOSS, then you can see PROFIT.

This is an instance that I think he is talking about............

It's the fear in me to NOT believe what I see. Afraid price will turn around. Continually thinking to myself, it can't go lower/higher........it's gone to far already.

Well, I've read somewhere that if you go against a trend that the market will drain your account before it ever turns around.
I'm proof of that.
#1BODY in direction of profit #2INCREASE lot size Obsessively
My Losses cause me Great Laughter!
Trading Bible here> therumpledone/the-ideas-that-i-trade-by-t3256/page1670

pierre23
rank: 150+ posts
rank: 150+ posts
Posts: 313
Joined: Thu Oct 09, 2008 3:17 am
Reputation: 0
Gender: Male

Postby pierre23 » Mon Jul 13, 2009 11:36 pm

Shinobi-X wrote:Spot on, pierre23. I agree with most of the things you said.

The thing that might differ from your opinion is entering the market all the time does not increase your exposure risk. Entering the market has the same risk whether you enter 2 or 10 times during 2 or 3 sessions. Because each trade you have is a mere replication of the same method over and over again. IMHO, use the same setup that you use on the 1st trade to enter on the 3rd or the 10th trade and if conditions are not met you don't enter, right? :wink:

That being said, I don't trade based on M1 and I'm still far from a fx multimillionaire status.


Sure, that makes sense :) But imo I still think you're more prone to losses continually being in and out of the market. Plus, if you could choose to trade 40 times (having to be right most of the time because you're scalping, but I suppose that could be debatable considering risk and money management) or 4 times for the same amount profit -- I know which I would choose :wink:

pierre23
rank: 150+ posts
rank: 150+ posts
Posts: 313
Joined: Thu Oct 09, 2008 3:17 am
Reputation: 0
Gender: Male

Postby pierre23 » Tue Jul 14, 2009 12:32 am

prochargedmopar wrote:What I mean is that I'm trying to pick when he currency is going to reverse it's trend and trade in the "new" direction..........

THIS IS ALL WRONG!!!

When I sit down and SEE that price is dropping for instance......What in the hell am I doing going Long????

Again.
And again.
And again......

Damn, If I would just wait for a little retrace and trade in the direction of price the 6 nine pip stops would have netted me a MINIMUM of 42 pips..... (after subtracting spread ea. entry)
I actually got a "better" price each time so it would be more than that.

Not to mention that price travels much further in the trend direction after a small retrace than it does trying to ride the "small" retrace in the other direction. Each entry would net more profit.


You KNOW what you're doing wrong so why aren't you changing the way you trade? I was doing exactly that before I took a small (3-4 week) break from trading, trying to pick tops and bottoms. I came back with a clear mind, clear chart and I was like, eureka! Even though I knew it all along I guess it was that stupid 'eureka' moment you wait for before you just completely change the way you see the market.

Check out the following masterpiece I personally painted.

Image

In my head, this is how I see it.. red lines are you're long positions because you think the trend is changing (loss), green lines are the positions back in the direction of the trend (profit).

After trending down, the market finally does change direction, in which you may end up with a loss if you took another position going short.

You're left with 3 winners and 4 losses if you keep trying to pick the tops and bottoms. On the other hand if you keep trading with the trend you're left with 3 wins and only 1 loss, when the market changed direction. Now, take these results and multiply it a few times for the amount you trade on the 1min time frame.

OBVIOUSLY this isn't exactly what happens in the market... but it's what I paint to myself in my head before I start taking positions (bar the odd scalp or two) against the trend, on the retraces.

You already know what you need to correct in your trading, so do it :wink:

Please add www.kreslik.com to your ad blocker white list.
Thank you for your support.


Return to “TheRumpledOne”