Quote:
Originally Posted by Kenny Rogers
So what happens when you have 6 losses in a row?
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You end up trading each position @ 6:1
Quote:
Originally Posted by Kenny Rogers
Are you doubling down each time?
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Not necessarily. It depends on how I'm feeling at the time. Sometimes (let's say on a long setup), I'll close out when I spot that price has pretty much ripped through my initial support area. Instead of reversing (and doubling), I'll set up another grid (buylimits) at a lower level support (doubling on the size). This is why I mentioned taking note of the previous balance prior to closing a loss. If the second setup shows a profit (on top of the previous loss; I'm out).
Quote:
Originally Posted by Kenny Rogers
That can get painful real quick.
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On 4 hour bars... nothing happens "real quick".
Final analogy:
Trading can be compared to the story of David and Goliath. You can be David, or you can be Goliath. The way to decide which character you're going to play solely depends on your edge. My edge is the creative use of leverage, and knowing that eventually people want to book their profits. All I need to do is to isolate locations where profit taking may occur. I can be wrong many times over, and still walk away with someone else's money.
Although it's really none of my business, I'd love to see you skinny down on those sizes at some point, Kenny. The "gambler's" way of life only has a place in songs and movies. There's something to be said about acquiring a calm piece of mind when trades are open... and this is the only way I have been able to do it successfully. But again, to each his own... I'll be around.
MM