ChrisEccles
Private, 1st Class
- Messages
- 47
My trading week begins on Saturday morning, when I download and
print the Data Release Calendars for the coming week from both Fx360
(GFTForex are my brokers) and FXCM.
-
I then run my account statement, verifying that it matches up with my
longhand trading log for the previous week, and do my margin calcs for
the next week's trade. At this point, I fire off any emails to my account
executive relating to conversion queries, etc.
-
Next, I look at the scheduled news releases and decide in advance which
pairs I'm going to trade on which days. I map good and bad potential
release data to long or short positions on pairs. For example, if there are
a number of European industrial production indices coming out on one day,
and no US data or UK data, I will aim maybe to straddle the EUR/USD or
the EUR/GBP. etc.
-
My target pips per day's trading is set at 20. If trades are in place and
are making more than this, I adjust the B/E to settle my target and let
them run for a bonus. 20 pips may seem a very modest target for intraday
trading but it pays to let the lots do the work, rather than the pips, for
me anyway.
-
My risk is 2.5% of available equity (initial) on any trade. I nearly always
enter at market with a conditional OCO for stoploss and target, although
these are modified later during a trade. I trade on 10-min charts for all
pairs, initially, although I can do a quick flip to 1-min charts in order to
buy/sell at dips/peaks when adding to successful trades.
-
My work screens are set up (DealBook360) to allow a flip between the
following:
1. Trade screen, showing 1-hour and 10-min charts, and open positions
and working orders, plus the quoteboard for all my usual pairs, plus a
quick €/pip x Lots calculator for any pair.
2. 4-hour charts for all usual pairs.
3. Daily charts for all usual pairs.
4. Weekly charts for all usual pairs.
5. Newswire display, plus 10-min chart for traded pair and open positions
and working orders.
6. 1-min chart for traded pair plus 1-min chart for any relevant cross
of either the main or counter currency.
-
My first stoploss point on most trades is a trailing one, beginning at the
price computed to tell me the trade is wrong. I use the 14-period ATR
for the 1-hour chart to give me the "breathing room" for this first
stoploss point. Trading off a 10-min chart, this is normally adequate.
If the trade moves against me, I normally allow it to hit the stop but
sometimes (eg: where there are some indicators/candles showing an
obvious reversal) I will close at market to exit and minimise loss.
-
If the trade runs in my favour, I rigorously employ the two thirds rule
when adding to a position. Viz: I wait until the price is thrice my stoploss
away from entry, then double my lots, allowing the stop to continue its
trail.
-
I never employ the strategy of partial exit for profit, as I find this
cumbersome, preferring the two-thirds rule to achieve more or less the
same result but with superior risk management.
-
I keep a trading log on paper (photocopied sheets with columns for pair,
entry, stop, target, adjustments and results) using one sheet per day.
I always try to note down what went wrong or right with a trade.
-
I am adding 3.8% to my equity per week, minimum, using this method
and anything over and above this becomes what I call my "haven" fund,
able to be dug into to finance the occasional larger position (sticking to my
trading rules, as above) which often yields good returns on "big" news
days.
-
Chris
print the Data Release Calendars for the coming week from both Fx360
(GFTForex are my brokers) and FXCM.
-
I then run my account statement, verifying that it matches up with my
longhand trading log for the previous week, and do my margin calcs for
the next week's trade. At this point, I fire off any emails to my account
executive relating to conversion queries, etc.
-
Next, I look at the scheduled news releases and decide in advance which
pairs I'm going to trade on which days. I map good and bad potential
release data to long or short positions on pairs. For example, if there are
a number of European industrial production indices coming out on one day,
and no US data or UK data, I will aim maybe to straddle the EUR/USD or
the EUR/GBP. etc.
-
My target pips per day's trading is set at 20. If trades are in place and
are making more than this, I adjust the B/E to settle my target and let
them run for a bonus. 20 pips may seem a very modest target for intraday
trading but it pays to let the lots do the work, rather than the pips, for
me anyway.
-
My risk is 2.5% of available equity (initial) on any trade. I nearly always
enter at market with a conditional OCO for stoploss and target, although
these are modified later during a trade. I trade on 10-min charts for all
pairs, initially, although I can do a quick flip to 1-min charts in order to
buy/sell at dips/peaks when adding to successful trades.
-
My work screens are set up (DealBook360) to allow a flip between the
following:
1. Trade screen, showing 1-hour and 10-min charts, and open positions
and working orders, plus the quoteboard for all my usual pairs, plus a
quick €/pip x Lots calculator for any pair.
2. 4-hour charts for all usual pairs.
3. Daily charts for all usual pairs.
4. Weekly charts for all usual pairs.
5. Newswire display, plus 10-min chart for traded pair and open positions
and working orders.
6. 1-min chart for traded pair plus 1-min chart for any relevant cross
of either the main or counter currency.
-
My first stoploss point on most trades is a trailing one, beginning at the
price computed to tell me the trade is wrong. I use the 14-period ATR
for the 1-hour chart to give me the "breathing room" for this first
stoploss point. Trading off a 10-min chart, this is normally adequate.
If the trade moves against me, I normally allow it to hit the stop but
sometimes (eg: where there are some indicators/candles showing an
obvious reversal) I will close at market to exit and minimise loss.
-
If the trade runs in my favour, I rigorously employ the two thirds rule
when adding to a position. Viz: I wait until the price is thrice my stoploss
away from entry, then double my lots, allowing the stop to continue its
trail.
-
I never employ the strategy of partial exit for profit, as I find this
cumbersome, preferring the two-thirds rule to achieve more or less the
same result but with superior risk management.
-
I keep a trading log on paper (photocopied sheets with columns for pair,
entry, stop, target, adjustments and results) using one sheet per day.
I always try to note down what went wrong or right with a trade.
-
I am adding 3.8% to my equity per week, minimum, using this method
and anything over and above this becomes what I call my "haven" fund,
able to be dug into to finance the occasional larger position (sticking to my
trading rules, as above) which often yields good returns on "big" news
days.
-
Chris
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