have you learned the lesson? answered the question Is the entry and exit of the short-term trading system contradictory to "letting profits run"?

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have you learned the lesson?

In fact, spears are not contradictory, just look at your trading logic.

First of all, it shows that the trend trading logic of cutting losses and letting profits run is no problem.

If the core logic of your strategy does not match this, then you have to reflect on whether your strategy is right or not.

It is also worth talking about what is short-term, is the short-term trading logic just to run fast?

First of all, let me talk about what is short-term and what is mid-line. We must first figure out this point.

In my opinion, these short-term or mid-term statements are of little significance.

If you are doing small-cycle operations and keep making profits for a week, is this considered short-term or mid-term?

If you enter the market on the same day as the daily line cycle, is this considered a short-term or a mid-term? I think people who don't understand are confused.

Therefore, short-term, mid-term or long-term can be regarded as the result of trading positions, and there is no need to classify yourself deliberately.

Let's just look at the cycle directly. Is the subject of the topic a small-cycle operation or a large-cycle operation?

Since the subject of the topic said that it is short-term, then I blindly guess that you are operating in a small cycle.

If it is a small cycle operation, such as a 1 hour cycle. Then the trend follows the transaction, and it is no problem to let the profit run. However, it should be noted that small-cycle operations have a high probability of becoming swing trading. Then it is difficult to have a large profit margin. Due to the need for a high profit-loss ratio, we can only use a small stop loss. For a small profit margin, only a small stop loss can be used, so as to ensure a high profit-loss ratio. Finally, the trend order profit can cover the previous trial and error costs.

There is another problem here, that is, the random volatility of small periods is relatively strong, that is, the stability is relatively poor, and the cost of trial and error will be relatively high. The result may be that it becomes more difficult for the account to be profitable overall.

So to sum up , if you want to make your account stable and profitable for a long time relatively easily, then you need to enlarge your trading cycle, such as the daily cycle.

The benefits of large-cycle operations are obvious when compared:

The cycle is large and the profit target space is large,

The stop loss space is correspondingly large, and the fault tolerance rate is high.

The market price trend is stable and relatively high.

So deduced down, there is nothing to be confused about.

From the questions, it can be seen that the subject’s trading knowledge is still relatively lacking. If he really wants to go far in trading, he still needs to learn more, think more, and summarize more.

Last updated: 08/31/2023 05:07

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gainder跟单

In fact, this question can be asked in another way: Can the short-term trading system increase the profit-loss ratio and let the profits run?

Short-term trading is not like high-frequency trading, which eats point difference, fast in and fast out. Short-term trading is to open positions in a small time period, which can achieve a good winning rate and profit-loss ratio.

The closing of the short-term system is not the only way to fix a few points to stop the profit and stop the loss. It can be a mobile stop-profit stop-loss, or a trailing stop-profit stop-loss. Under these two stop-profit and stop-loss trading strategies, short-term profits can be made to run.

But closing positions in any trading system is a difficult point. It is no exaggeration to say that position management is a professional science.

The often heard "killing and decisive" is a highly generalized statement. When to cut positions and when to be decisive, there should be a set of basis behind it. In actual trading, this set of basis should be used to deal with various emergencies.

Instead of cutting when you lose, and running when you win.

A complete short-term trading strategy is like this -

open a position

In the first step, I observe 3 time periods, namely the 5-minute, 10-minute and 30-minute lines. (multi-period observation resonance)

In the second step, if there is a signal on K at 30 minutes and confirmed on the 10-minute line, I will open a position on the 5-minute line. (Follow the big and reverse the small, look at the big and make the small)

The third step is to determine the position. In this step, we should consider how many lots to open and how much the margin will be.

close a position

Based on your backtesting, decide what kind of take profit and stop loss strategy to use.

①You can formulate a percentage stop profit and stop loss method. For example, when the profit reaches 20%, 1/3 will be sold; Make a lot of money.

(Many people do transactions without a basis for rules. When they see a fall, they will sell their positions full, and when they see a rise, they will run with a full position. If there is emotional interference, it is likely that they will run after a big loss, and withdraw when they make a small profit. It is a net loss. Those who make money have evidence to follow when making orders. Although they are not specific to every detail, the space for "subjectivity" to play is extremely limited. This is the difference between guerrilla troops and regular troops. Military law None, how do you go to the battlefield? Your troops are in chaos.)

②You can also formulate a fixed ratio stop-profit and stop-loss method, such as strictly setting the profit-loss ratio at 1:1, but this strategy has a premise that your winning rate must be high. This is to make profits by accumulating the number of transactions.

review

Actual combat requires reflection. Every time you make an order, you have to think: Whose money are you earning, can this model be continuously replicated, and is it stable?

For more than 80% of traders, the main reason for this path is that there is no way.

Doing business is different from doing business. In business, you can find successful peers that you can imitate. Trading is very closed, and those who make money only post the rate of return, and few post orders. This is an open-book exam without standard answers, and you can find certainty in the vast uncertainty.

Last updated: 08/31/2023 16:58

罗马假日

"Is the entry and exit of the short-term trading system contradictory to letting profits run?"

——This question is quite general.

1. First, you need to define the short-term. In the stock market, according to the definition of Dow Theory, the short-term is usually an index of days to several weeks; the general short-term definition of the foreign exchange market or the futures market or the US stock market is within the day. We assume that your trading system is an intraday trading system.

2. Short-term requires rhythm and very strict risk control. Your short-term system may not be so perfect, or you are not confident in your system. After all, you have an exit signal. As long as your system is expected to be positive in the past, then you should stick to it until proven wrong.

3. Letting profits run is generally in trend trading (here refers to a long holding time), which does not match your short-term trading system, you just stick to your own system.

4. The most important thing is that you need to know what you are doing and what kind of market you are doing.

Last updated: 08/30/2023 02:26

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