Thread: Adding to losing positions

I add to losing place sometime within predefined risk range, but I never input complete risk size on opening position. I guess I am insane?

Originally Posted by ;

Micro, I'm not picking on you but when calling someone a loser you ought to endeavor to spell it correctly. I just thought it was funny.

I tried to use the spell checker and noticed your name isn't in the dictionary. There are some interesting suggested corrections though.

Originally Posted by ;

I devote to shedding position sometime in predefined risk range, but I never input full risk size on opening position. I guess I am insane?

It's not my job to decide if you're fair or not (I wish it was, that could be a very cool job) but I think if you enter a position with less than 1R it is perfectly acceptable to add on until nonetheless acheive 1R. It's not unreasonable to acknowledge that you didn't enter in the exact top or bottom also that there will be a chance to add in a better price. Insane poeple do not establish risk guidelines and keep adding till their brokers relieve them of their own position.

It is extremely dangerous to perform, however, with sound money management and great technical analysis, one should have the ability to break even or come out ahead. I have done it, succeeded but would not do it again. If I take a situation, and it moves against me for any reason, I go back, examine the charts, technicals and fundamentals and if I think that my trade is a sound trade, I play it outside without including any rankings, otherwise, I would simply close it (very infrequently ).

Depends on the situation and MM.

If it is in my MM rules and I have sound foundation for adding to the place I will.

Under any other circumstance, I wouldn't.

I think averaging is one of the most intelligent entry techniques. . Think about this: you'll never get a perfect entry. . The market generally falls 10, 50, and sometimes even 100 pips once you start a situation, and unfortunately for you. . Its against your position the majority of the time.

I love to cut exactly what a full position is for me in half, and input half when my egy calls for this. . And enter another half following the market pulls back much further.

Notice how im not doubling my position, but averaging in. . There's a massive difference. . If your account can only take on 1 lot at a time, then start 5 minis then another 5 minis... not 1 lot then another lot. .

Good luck and good trading

Originally Posted by ;

I think averaging is one of the most smart entry techniques. . Think about this: you'll almost never get a perfect entry. . The market generally falls 10, 50, and at times even 100 pips after you start a position, and sadly for you. . Its against your position most of the time.

I like to cut exactly what a complete position is for me in half an hour, and then input half when my egy calls to it. . And enter the other half following the market pulls back even farther.

Notice how im not doubling my position, but averaging in. . There is a huge difference. . In case your account can only take on 1 lot at one time, then start 5 minis another 5 minis... maybe not 1 lot another lot. .

Good luck and decent trading

I concur with you entirely superdezign. I do this quite frequently and it plays out to be profitable. If you are capable of knowing where and why price should stall within an area subsequently reverse, then this is a egy to get quite a bit more profit than what you ordinarily would have. For example, I had a commerce about the Gbp/Jpy that went against my initial transaction as I knew it would. I then squeezed down into the reduced timeframes and discovered that a pinpoint price to input another in. By the time I'd have been in breakeven, I was in profit by about 75 pips. This creates a massive difference in your equity number when employed correctly.

Originally Posted by ;

I concur with you entirely. I do this very frequently and it plays out to be profitable. If you are capable of knowing where and why price must stall in an area subsequently reverse, then this really is a egy to gain quite a little more profit than what you normally would have. As an instance, I had a commerce on the Gbp/Jpy that went against my first transaction as I knew it would. I then squeezed down into the reduced timeframes and found a pinpoint price to enter another in. By the time I would have been at breakeven, I was in profit by around 75 pips. This creates a huge difference in your equity number when employed properly.

Did the same exact thing this week. . On the AUD/JPY, but that I was up around 500 pips by the conclusion of the commerce versus being down 300 pips. . not to shabby

Originally Posted by ;

did the same exact thing nowadays. . On the AUD/JPY, but I was up around 500 pips by the end of the commerce versus being down 300 pips. . not to shabby

Not at all! Sounds great! I hope this week ends up as great as previous week. I do not doubt that it will for a moment. Good luck to you in your trades.

It's very risky and should only be accomplished using goog judgement, assessing what other indiors state about close reversal. It's not for beginners