|
PureBytes Links
Trading Reference Links
|
Felix:
If you build your position by using multiple units, I would absolutely agree you
will have more flexibility in most markets. There are numerous ways to approach
trading with multiple units, probably more than I have ever thought of. I do
usually trade with multiple units, but many traders here do not have the capital
to work with multiple unit positions.
However, the principle remains the same: Don't trade without a plan and don't
violate your plan. So if you build a multi-unit position and each leg of the
position has an attached stop loss, then by all means, when you have the three
units on, stick with that plan. The caveat would be if market conditions change
or if, in your judgement, news has changed the markets.
It is important for a good trader to know that sometimes, the best trade they
can make is taking a loss at the correct time.
Maybe other people would like to add to this discussion about managing multiple
unit positions? I think this is another tool that many traders have not added to
their trading toolbox.
Best,
Tim Morge
Felix TY wrote:
>
> Is that for one postion only? Like getting in one shot and out one shot
> and lick your wounds?
>
> What if your entry is 3 different prices (or three different position, within the
> same
> are or range)?
> Each has their own stop loss point, because sometimes market noise
> will shake one monkey from tree but not all three of them, unless it
> is a real market shock (but thats another rare story)
>
> What ever happened to managing a trading position? Any comments?
>
> Timothy Morge wrote:
>
> >
> >
> > Everyone on this list that trades, takes losses.
> >
> > Everyone that trades, takes losses.
> >
> > Losses are a part of this business.
> > The more you fight a loss, the more money, time and energy you waste.
> >
> > In your example, Jim, the system told you to get out. A mistake left you still
|