If the price advances a lot in one address, it is most likely that the next movement is in the opposite direction.If not, there must be a good reason for him to continue.
If the price advances a lot in one address, it is most likely that the next movement is in the opposite direction.If not, there must be a good reason for him to continue.
@Op I add to my positions, but it is something that can bite you where it hurts the most if you let yourself be carried away by greed.This is how I do it: define a level of risk that you are more than willing to assume if the operation does not work out.This is key.With experience, you can adjust that level of risk according to the probabilities: more aggressive for high probability and vice versa operations.Trail the SL to a point that you consider reasonable, adjust your position and keep the same level of risk throughout the operation.For example, let's say I buy with a SL of 30 pips and I am willing to risk $ 31.My position is $ 1 per pip.I do 51 pips in the operation and I wait for a rally from another 81 to 101 pips.I decide that my current SL is wasted and I upload it below a strong support, 11 pips above my initial entrance price and 41 pips above where it started.Now my risk goes from $ 31 (31 pips
The reason why the price continues to progress may be in a trend.Of course there will be setbacks, but you never know if that setback will become a new trend.The problem is to define what "progress is a lot of progress."Do not send me private messages on programming consultations.
You can always try to go out and go back.For example, the initial signal is to buy in 1.3000 with a stop at 1,2951.The market reaches 1,3051.You sell half.Then the market returns to 1,3021, and now you can buy a larger size with the same stop at 1,2951.The problem is that if you sell in 1,3051 and the price does not return, you lose those opportunities, which are usually the best.I will try it in the next opportunity.
As I said before, I only add positions in losing operations (yes, it is a different approach
With my limited experience in averaging up and down, I learned that not all setups are suitable for adding new lots with the "hope" that the movement will continue in my favor.I discovered that complex setbacks (CPB
Thank you, there are very interesting ideas here.
Is there any EA for this strategy?Please share it.
Adding positions to the winners is an advanced strategy, but most do not have the discipline to manage it correctly.I say it because I have seen many traders try this technique and fail loudly.The problem is not the idea itself, but the execution.If you don't know when to move your SL or when to stop adding, you will end up ruining your winning operations.Do you want advice?Do not try to add positions until you have a consistent history of profits with a single entry.Otherwise, you are playing to be a hero and the market does not forgive the heroes.Better focus on the basics before complicating you with advanced strategies.
I understand your enthusiasm, but adding positions is not for everyone.It requires a level of trust and experience that is not acquired overnight.I started adding to my operations after two years of operating consistently and still, I had to learn based on errors.It is easy to get carried away by greed and want to maximize benefits without thinking about risks.My advice is that you go little by little.Do not try to add positions in each winning operation.Choose your moments, define clear rules and always evaluate if the market is giving you the correct signal.Otherwise, you will be increasing your risks without need.
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