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    INVP (Investec) - Sell *Trade closed*

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    fxtrades

    Posts : 119
    Join date : 2010-05-18

    INVP (Investec) - Sell *Trade closed*

    Post  fxtrades on Sat Feb 05, 2011 6:27 am

    Hi,

    First trade back on EOD shares. Triggered in on break of pin at 483, stop currently at 504 above pin and 500.

    Reason for trade: Bearish pin through 500. Slices through resistance occurring through November and December. 3,2,2 Stochastic on the turn (I still have this on my PRT charts from the SB days) so it may add weigh if you believed this strategy was of any value.





    Last edited by fxtrades on Sat Feb 19, 2011 2:59 pm; edited 1 time in total

    fxtrades

    Posts : 119
    Join date : 2010-05-18

    Re: INVP (Investec) - Sell *Trade closed*

    Post  fxtrades on Thu Feb 10, 2011 2:28 am

    Good down day yesterday, with price falling almost 9 points. Leaving stop above 500 for now, to avoid being spiked out of the trade, however if price closes above the 493 S/R I'll most probably bail out of the trade.

    fxtrades

    Posts : 119
    Join date : 2010-05-18

    Re: INVP (Investec) - Sell *Trade closed*

    Post  fxtrades on Fri Feb 11, 2011 3:16 am

    Another 7 point down day. Stop now moved to 484 to allow the trade to have 10 points to as good as break even, not willing to lose any money on this trade, however lets hope for more falls Smile

    fxtrades

    Posts : 119
    Join date : 2010-05-18

    INVP (Investec) - Sell *Trade closed*

    Post  fxtrades on Fri Feb 18, 2011 5:19 am

    Sorry for the lack of charts. This trade has now been closed as follows:

    On seeing a doji with a similar low to the the previous day at near term support it looked liked price may be hitting resistance so I decided to take 33% profit at 472 (10 pips, lower horizontal line). I then moved my stop to above the doji bar to lock in further 66% profit if price was to reverse at 476 (7 pips, higher horizontal line).

    Not a great R:R (less than 1:1) but never the less a winning trade and I was pretty confident price was going to reverse after the good looking pin.

    I know many many people talk of a 2:1 or 3:1 win ratio, however I'm of the thinking that if you can improve your accuracy of ANY winning trade to 70% or above you can afford to take 1:1 win ratios, however obviously you hope for a runner, but in my eyes its better to take something from the trade if you see price stalling than watch a reversal back to break even.



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    Wig

    Posts : 616
    Join date : 2009-10-02

    Re: INVP (Investec) - Sell *Trade closed*

    Post  Wig on Sat Feb 19, 2011 11:39 am

    nice trade Very Happy

    the whole RR conundrum continues to pick away at the back of my mind - as you say I think to aim for 2:1 or 3:1 is far too simplistic a target, unless that specifically suits your trading style and is how you've developed your trading. I don't think it is a prerequisite at all. for instance if your style was to use wide stops and take small profits you'd never achieve anywhere near 2:1 but could still be a successful winning trader. I guess the flipside is knowing when to cut your losers early

    Personally my main aim is to get trade to breakeven as soon as possible then take it from there, the battle I'm now fighting is to minimise the quick losses as that -1RRP is so easy to amass with a sloppy entry yet the +1RRP takes far longer to rack up through trade management.

    Cheers
    Wig

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    Re: INVP (Investec) - Sell *Trade closed*

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