Home What do you do when your trading system loses money Will you give up

What do you do when your trading system loses money Will you give up

Forex traders often ask the question, if they build a cashbackforexexness forexrebateclub that often fails cashbackforexbroker causes losses, should they give up th forex rebate club system and replace it with another one? Is there a stable and profitable trad cashback forexg system? First of all, the trading system failure is normal, my trading system is often failure, failure stop loss out is as long as the long-term down your trading system is making money on the line With a stable trading system, I have thought of many ways to optimize or research new systems, but each time is a loss of money and the end, and finally found that the original match is still good, which may also be a factor in the moral quality of people doing transactions are relatively high One of the bar later think about why it will fail? Because this trading system is summed up after many losses, and used for many years, which the ideas and trading concepts have been deeply rooted, formed a habit, formed a belief belief is difficult to change, once the change is confused, lose confidence so later rarely on the trading system for a major change, only some technical adjustments, will not change the concept of forex trading system in the actual transaction each have their own Features single type: single species, single mode, single corresponding trend compound type: multi-species, multi-mode, multi corresponding trend in practice, the biggest difference lies in the "corresponding trend" is different, similar to a sniper rifle a shotgun it is to improve the winning rate ... different trading systems, the focus The object of observation is different, the need for data is different once tried to get on together, encounter which system on which system, but I found that my brain can not respond to which want to engage, the results of which are not careful look so I am now, has been using a until failure, or found a faster and better way to make money more system is forced out of the previous will only touch the board, but this year, huh? The new arbitrage method has led to basically no money this year. I thought I had a trick to eat all over the world, but suddenly it failed to have this experience, more fearful you do not know when the method you now master is finished again. The people, or palpitations of this year obviously feel that the money is not enough to spend it, and nothing very good way because you do not know which direction the market will change in the future, save for a rainy day can only be said, just when the specific circumstances to do in response so that more than prepare a few sets of trading systems, that is also bullshit can only be, the existing basic system to refine, dig a little deeper is a little when I learned to touch the board technology, almost two years before I dare to say a word. Almost two years before I dare to say a sentence is considered skilled this time from a new start to study, to be profitable, more than four months only so, the foundation is solid is the focus in fact, many forex traders never thought about what the trading system is in the end, which is why I think most purely mechanical system inductionist very annoying, their lazy not to say, the attitude towards trading can simply be said to be perfunctory, when found the principle of profitability After the discovery of the profitability principle as if by Gods will, and then never think about anything else basically all the energy on the optimization of the implementation, honestly this energy spent quite worthless how to establish a trading system, dealing with the trading system bottleneck is what? The first thing you need to do is to talk about how to set up a trading system, to set up a trading system to deal with the bottleneck trading bottleneck is how to solve the problem of eliminating the influence of mentality on trading through the trading system. In this way, the biggest bottleneck in trading is how to form systematic trading, many times we will have problems in creating a system, how to standardize, how to be specific, how to completely solve the problem of system consistency, how to meet these conditions and still have a good return, a good win rate and profit/loss ratio. Formation of correct market perception, here you need a lot of reading, a lot of learning, in the following words I will summarize a set of their own formation of a trading system of a set of ideas, in fact, when trading do not dive headlong into the market, around into a trading circle, drilling bulls-eye, dead trading trading dead formation system is actually like solving math problems, each problem is a variety of ideas to solve, when you come to a dead end may never When you come to a dead end may never be able to solve the correct answer, then you must enhance their own cognitive height, the market is like a forest, drill into it, no signposts is very difficult to walk out, but may wish to enhance our height, stand at the top of the mountain, or get on a plane, first to observe the market, planning walking routes, and then to practice, so it may be easier to get out of the market, the formation of their own trading system and then to verify their own system. Over and over again to review, summarize the problem, again to review the summary of the problem, here need to put a lot of effort to shape, I had in the formation of trading system for six months of continuous review, constantly looking for problems to solve the consistency problem, deal with the balance of probability and profit and loss ratio, deal with the balance of the horizontal axis price and vertical axis time, deal with the balance of trading and life the things mentioned earlier trading cognitive bottleneck  In fact, the system is also divided into good and bad, a real trading system is not only trading in the pure profit, how to control the risk, how to define the capital management, how to trade and life to achieve harmony are required to consider here we will analyze one by one, for a trading system, risk control is essential for example: the Swiss franc black swan event, perhaps you system is very good, the first multiples of profits, assuming The risk event is not dealt with, then the previous profit may be lost in the collapse, here we can use the risk treatment of avoidance or capital dispersion to deal with these risks again to say that the capital management capital management is built on top of the trading system, through the understanding and knowledge of their own system, clear their trading systems history of the maximum continuous loss, the maximum retracement to judge the capital management, judgment of the position. Here you need a lot of replay, ten years of historical data or more, for example, the following system I personally use a fixed loss amount for trading, ten years of history of the largest continuous loss is six single, according to Wall Street investors require that the capital retraction shall not exceed 20%, then that is, as long as the maximum continuous loss range does not exceed 20% of the total funds even if to meet the requirements of Wall Street, then a single loss control 3%-4% range on OK position is so by the system of reverse reasoning and then say the profit and loss ratio and win rate, remove the cost of trading 1: 1 profit and loss, win rate of 55% or more can reach profit, 1: 2 profit and loss win rate of 35% can be profitable and so on then after these processing is completed we need to consider the balance between trading and life to trade for a living, the main body is also life, trading is also just to meet life so how to Dealing with trading and life is also an important part of the system Finally comes with its own a trading system cognitive process as well as trading system:  One: the cognition of the market (system concept chapter):  Each transaction needs to have the three elements: ① confirm the direction, ② find the point (entry, stop loss, stop gain), ③ position (money management)  This System core: follow the mainstream capital flow market composition: any financial market fluctuations are based on the buy and sell position capital game led to the market at every moment there are countless short and long single, when the amount of short orders greater than the amount of single market down, when the amount of single greater than the amount of short single market up so regardless of any trading varieties the main thing is to analyze the market mainstream capital movements  Trader composition: 1: fundamental traders 2: technical traders (technical traders are divided into trend traders, indicator traders, K-line pattern traders, etc.) capital composition (position cycle): long term funds, medium-term funds, short term funds how to follow the mainstream capital flow, then you must understand all kinds of investors capital capacity, and position change cycle (the following will be the capital flow to elaborate the mainstream trading As a trader not only to pay attention to the plate horizontal axis price fluctuation changes, and the same vertical axis capital inflow time is also very important point above has been said, the market fluctuations because traders buy and sell positions constitute the so-called capital flow & nbsp; First I came to analyze the fundamental traders: & nbsp; I classify the fundamentals: the focus of events, and general events & nbsp nbsp; But whether it is the focus of events or general events, their capital composition is composed of long term, medium-term, short term funds, the only difference is the capacity of each trading cycle capital composition, relative to the focus of events, such as QE, various types of crisis, plus or minus interest rates, employment, etc., can be regarded as the focus of events, is the event that can change the trend I call the focus of events this type of event in the long term capital capacity more, and General events such as daily data: GDP, CPI, PPI, ISM, PMI, ISM, IFO, trade current account, weekly unemployment benefits, Michigan index, house price index and other daily data this kind of data short term money capacity more Secondly, I will discuss technical traders:  Technical traders based on different graphs of different cycles, will present different The money cycle and capacity, such as daily, weekly, monthly then these traders have a longer period of money, for the long term funds 4H, 1H, the cycle for the medium-term funds 1H graphics below I define as short term funds (here the cycle definition argument is based on the fundamental funds cycle and capacity definition)   what was said before is just a pavement, so now we explore how to do a good job trading, whether you is a data trader, technical pattern traders, K-line pattern traders, indicator traders, then you are a small part of the market, then to profit then we need to combine two types, or three types or more trading methods to achieve the purpose of following the mainstream money, when you combine the various types of money capacity more than greater than 50% then you can gain in this market just like, many indicator traders, the The concept of combining two or three types of indicators for trading is different, because indicators always have encounter Some indicator trading may seem to have good returns, but the actual manipulation, you will find that this is not the case, because the back of the form has not been reached, the form of the indicator does not constitute the same as looking at the form that has gone out to say that the form should go so But here again A problem arises, many people will feel that then we go to all the trading methods are taken into account, then will not be no loss, or greater reduction in the loss of single, but the market is not so, because the financial market at each point in time, the proportion of all kinds of traders is not a fixed ratio, in different economic conditions is subject to change and if you are too demanding perfection may you a week or even A month or forever can not be delivered, because when the market all investors see the same, the desired point is unreachable, 51% of the proportion will be reversed, then 100% of the view of the same point is unreachable point as tug of war, while there is no one, then the tug of war event is not valid, the market is built on the basis of mutual game, there is no game of points also There is no price, so the single only need to follow the majority of the flow of funds can be two: analysis (model introduction) The following introduces the data surface and trend patterns combined with trading strategies example of only fundamental capital inflows example case (where the box for the data release caused by market volatility) (Figure 1) the second category, the combination of fundamental and technical (trend) cases (Figure 2) Note: the box for the range of data volatility, the blue line for trend line fundamentals and technical aspects of the same direction (trend down, fundamental carry) continuation of the trend (Figure 3) Note: the yellow box for the range of data fluctuations, the dark blue line for the trend line fundamentals and trend reversal (trend down, data favorable): this will come out of two types of patterns A reversal, B trend line (channel) change A: trend down, data up (reversal pattern) (Figure 4) Note: the yellow box for the range of data fluctuations, the dark blue line for the trend line range, the dark blue line for the trend line B: trend line change or change in the channel three: case examples of fundamental and technical direction in the same direction case: gold November 16, 2015 to December 1, 2015 one-hour K-line chart red circle for the entry point fundamental and technical reverse case - trend line change channel change - gold December 1 to December 18 one-hour K-line chart fundamental and technical form reverse Case - reversal pattern - gold December 18 to January 6, 16 one-hour K-line chart from the previous system can be seen ------ trading in the relationship is the fundamentals change technical patterns, technical patterns constrain the fundamentals Here is only the combination of fundamentals and trend line application, trading can also go to the fundamentals and The combination of various technical patterns (such as triangle patterns, flag relay, wedge, butterfly patterns, etc.), as well as fundamentals and indicators, fundamentals combined with K-line patterns, technical patterns and K lines, etc., in fact, the transaction itself is a mutually tolerant process, following the mainstream of capital, the formation of a trading system and then through a large number of replay to develop capital management Some friends raised, my example of delineation is too simple, I here The main purpose of writing this system is to provide you with another way to think about the market, and I hope you will look at it carefully and understand the ideas, not to be rigidly applied  Second: I personally think that the trading surface is not necessary to do very complicated, my personal trading is based entirely on the bare k, the pattern to go as well as the fundamental analysis  Third: Of course, I am just an example here, so only one cycle to facilitate the understanding of the idea but the actual operation, we need to make it clear that the large-cycle technical form of resistance to adapt to the small cycle, small-cycle resistance is not necessarily adapted to the large cycle, technical pattern analysis, we need from the monthly - weekly - daily - four hours - an hour in different cycles to find the resistance level of each cycle Then when trading, we only go to do resistance between the profits or very safe that is to say, in the hourly chart we need to pay attention to the monthly, weekly, daily, four-hour cycle resistance levels Author: SKIN

Link to this article:https://www.360tradebay.com/6992.html

Copyright © 2012-2021 https://www.360tradebay.com - forex rebate club
Back to top