What is your exit strategy?

[demofx]

According to statistic, 80% or entry has been right, but only 10% of people make a live out of trading.

 

Last two times, I have see my 10 pips profits turned back into breakeven and get stoploss out, and asked myself why I did not take hte 10 pips profits when it was there?

 

What is your exit strategy?

 

Because of this post take so long time from 2009year.

For my exit strategy by parabolic sar change position from previous trend by profit depend on pivot level.

Also, if you still here, Could you pls advise me for yr statistic 80% entry strategy?? Thaks Bro ... (^@^)V

[s1quash]

10 pips take profit...trade on the 1 minute chart ;)

[vx13]

http://www.forexfactory.com/showthread.php?t=62066

 

Pascal's Triangle Averaging Up ;)

[warhan]

Thanks for sharing

[peglegtrading]

I love to use breakeven stops based on keltner bands and then trail with supertrend. I explain it here: http://meantrade.blogspot.com/2011/11/meantrades-exit-strategies-taking-huge.html

[Diesel 10]

After learning Forex trading for years and realizing that most courses and gurus are clueless I have developed a very simple exit strategy for myself; I have a goal of 5% return per day. I trade 1 standard lot for every $5,000 on my account, so I have to make 25 pips on the Euro. I don't trade the Euro but this is the easiest way to explain it. I trade the H1 charts so to make 25 pips is very easy. Do I make my 25 pips? Yes I do, every day when I trade. And yes I do make more than that. But I am happy with my 5%. I leave money on the table every day without regret. I am back the next day to collect more. Trading this way allowed me to double my account every 14-15 trading days for the last 15 month.

 

Quite impressive Zoltan. Can you please give more information on how you enter the trade to consistently make your daily profit? Also stop placement etc. I'm interested!

 

Thanks,

 

Diesel10

 

(Since this is off topic, You may PM me if you prefer)

Edited December 21, 2011 by Diesel 10

[tronss]

Zoltan: it would be nice to know how you trade, it´s a dream come true brother. Thanks.

[Zoltan]

Sorry guys, I was away for a while and this is my first time back here at II after a long absence. I will get back to you very soon. Take care!

[vince-ac]

hey zoltan,

good too see you back. i hope good health and good fortune is on you.......later....vince

[Unclepips]

I had the same problem.

 

According to statistic, 80% or entry has been right, but only 10% of people make a live out of trading.

 

Last two times, I have see my 10 pips profits turned back into breakeven and get stoploss out, and asked myself why I did not take hte 10 pips profits when it was there?

 

What is your exit strategy?

[Swordfih]

Scaling Out works for me

 

In my case, I always look to actively scale out of any given trade, but first and foremost I try to reduce my initial risk to half size and zero short afterwards.

 

As example if I'm in a trade risking -10 ticks, pips, rocks or what have you, I move my stop to -5 (from -10) after +5 in profit reducing my risk in half at this point (in case market don't cooperate) then moving my stop t0 break even +1 as soon as I have reached what I was risking on the trade, on this case 10, right?

 

Now, I can't lose and I'm loving it, better yet, in the worst case scenario I'm out covering my broker's commission. Still with me? Good, coz' from this point forward it's like we like to say on this side of the pond "It's All Gravy". A profit it's a profit, it's a profit, it's a profit! I don't care if its 1 or 100 as long as its padding my trading account not funding others people yacht.

 

First potential target 2X my initial risk where I "dumping" half of my trade size, second target 3X initial risk where I'm looking to shave 1/4 off, after that IF and that's a big if (did you caught that?) the trade rallied, I trail whatever left (usually a 1/4, if my math's serve me right) until the market decides to take me out. At this point I had to give myself a pat on the back and move on and look for the next trade...

 

Hope it helps. By the way, this is my exit strategy and I don't pretend to know it all or can't guarantee it will work the same for you way but it's works for me 8-).

[apple1937]

In my case, I always look to actively scale out of any given trade, but first and foremost I try to reduce my initial risk to half size and zero short afterwards.

 

As example if I'm in a trade risking -10 ticks, pips, rocks or what have you, I move my stop to -5 (from -10) after +5 in profit reducing my risk in half at this point (in case market don't cooperate) then moving my stop t0 break even +1 as soon as I have reached what I was risking on the trade, on this case 10, right?

 

Now, I can't lose and I'm loving it, better yet, in the worst case scenario I'm out covering my broker's commission. Still with me? Good, coz' from this point forward it's like we like to say on this side of the pond "It's All Gravy". A profit it's a profit, it's a profit, it's a profit! I don't care if its 1 or 100 as long as its padding my trading account not funding others people yacht.

 

First potential target 2X my initial risk where I "dumping" half of my trade size, second target 3X initial risk where I'm looking to shave 1/4 off, after that IF and that's a big if (did you caught that?) the trade rallied, I trail whatever left (usually a 1/4, if my math's serve me right) until the market decides to take me out. At this point I had to give myself a pat on the back and move on and look for the next trade...

 

Hope it helps. By the way, this is my exit strategy and I don't pretend to know it all or can't guarantee it will work the same for you way but it's works for me 8-).

 

Hi Swordfi$h,

 

I have some questions:

 

1.) What if the market doesn't hit your first target and reverse, are you going to exit only by letting the market hits your entry price without making any profits?

 

2.) If the market hits your first target but doesn't hit your 2nd target and reverse, when will you exit rest of your positions? Will you be letting the market hits your entry price too?

 

3.) When the market hits your 1st and 2nd target, you will let rest of your positions to ride with the trend until the market take you out. Based on what criteria or indicator to determine you have ride enough with the trend?

 

Thanks.

[Swordfih]

Hi apple1937,

 

1.) What if the market doesn't hit your first target and reverse, are you going to exit only by letting the market hits your entry price without making any profits?

 

If the market didn't moved pass half of my initial risk/profit amount (+5 in the example given) let say +4, which is pathetic IMHO meaning there is something wrong with my initial analysis to take the trade then yes, I will man up exiting the trade with a "full loss" no matter what, ifs or buts. I'll find myself in a hole where I need to dig myself out off but there is always another trade ahead. If the market moved to +5 and reversed then I will be out too but with half the initial risked amount, which might be the lesser of two evils. Next trade, please!

 

"2.) If the market hits your first target but doesn't hit your 2nd target and reverse, when will you exit rest of your positions?

 

Yes, I will be exiting ALL open positions at break even +1 when price retrace back to my stop. That would be good trade, not great but good then I will move on up to the next one.

 

Will you be letting the market hits your entry price too?"

 

That would be at b/e +1, right?

 

3.) When the market hits your 1st and 2nd target, you will let rest of your positions to ride with the trend until the market take you out. Based on what criteria or indicator to determine you have ride enough with the trend?

 

Just price action alone, if I've picked the trend direction correctly, I tend to use the most recent price swing to place my trailing to ride with the trend, unless is one of those fickle days in which the markets behave a little temperamental (if you know what I mean) and tighten my stop is required. Once out, I will decide if it's worth to look for the next trade or call it a day. No need to keep beating a dead horse, right. There will be another day!

 

There you have it, hope that help, if it not that clear let me know.

[freakgib]

i have a exit strategy and i think it can work for most systems but your risk reward needs to be at least 1:1+spread

 

oke example EURUSD lets say we have a stop of 20 pips and we risk 3% of our account.

 

lets say 0.3 lots now we split our order in 3 orders of 0.1 lot Risking 1% per order.

for all 3 orders we place the stop at our original stop of 20 pips.

now we place for 1st order the exit at + 20 pips + spread

lets say that 1st order has been hit now we made 1% profit but we stil have 2 orders running.

we now move for one of the remaining orders the stop to Break even at this point we are save and cant loose money.

of now the market returns to our break even point that order we be closed but costing us nothing

stil we have 1 order left.

if the market now also hit the original stop we loose 1% but we also made 1% so we diddnt loose anything.

this way u give the market a lot of room to swing and that is what the market is doing all the time.

 

but lets say the market did hit our first order and continued our next exit sould be a good Fib level or s/r level

if that one has been hit we made some nice profit already but we stil have 1 order running

for that last order we now move the stop to the level of the 1st exit (+20 pip )

and now we just let the market run and we look if our system gives us a new signal/setup in the opposite direction and then we close the last order.

and do it all again

 

so in short

risk 3% split your order in 3 orders of 1%

Bad case we loose 3% or what u want to risk

little bit better we loose nothing cos our first target has been hit at this point no more stress nothing can happen.

good case market made a nice run 2 orders already closed nice profit and we are all happy and trading without stress cos nothing can happen.

Tip control your Fear and Greed and think in Percentages instead of order size

and dont risk to much.

 

Happy trading

Edited August 14, 2012 by freakgib

[FX_SuperTrader]

Exit Strategy:

 

Trailing Stop (pips or dollar amount).

ATR Trailing Stop (pips or dollar)

AutoStop (for example Parabolic SAR indicator, Bressert stops and Hawkeye Stops).

Stop Loss (pips or dollar).

Profit Target (pips or dollar)

 

First, before of determine your Exit Strategy, I believe that you must study the series of data (your time frame). Descriptive Statistics, deviate standard, average, kurtosis,etc, next calculate volatility, etc.

 

Next include Exit Strategy in your Trading System and make a backtest.

 

For me ATR Trailing Stop work very well

[hankt80]

After learning Forex trading for years and realizing that most courses and gurus are clueless I have developed a very simple exit strategy for myself; I have a goal of 5% return per day. I trade 1 standard lot for every $5,000 on my account, so I have to make 25 pips on the Euro. I don't trade the Euro but this is the easiest way to explain it. I trade the H1 charts so to make 25 pips is very easy. Do I make my 25 pips? Yes I do, every day when I trade. And yes I do make more than that. But I am happy with my 5%. I leave money on the table every day without regret. I am back the next day to collect more. Trading this way allowed me to double my account every 14-15 trading days for the last 15 month.

 

So you made $12,000,000,000 so far, LMAO.

[edw123]

Fibo 100, 1.618, 2.618, 4.236, each of them for profit taking levels, need to be cautious where and how to plot the fibo.

[lll]

better go in without a loss is always possible to enter

[agrafes]

for intraday / short term traders, please take a look this article....hmmm..... hopefully you will find "aha-moment"... as I did ......cheer!!

 

http://www.multiupload.nl/CC5KQDDIVI

Edited January 14, 2013 by agrafes

[Badger1976]

I like holding on to my trades for a bit longer and targeting the average daily range. If you look hard enough S&R are everywhere, so I don't find them that easy to trade with.

[hermes]

Look for all disturbing signs like round numbers, especially 00 & 50, then for R & R horizontal and diagonal (TL). It you are on low TFs check also the economical calender! Fibs 38.2 and 61.8 are good warnings. When you are 50 pips up BE and then trail every 30 -50 pips (Daily TF). Easy way is to check 5 EMA, if candle closes above/below it is time to scale out or close the whole position.

If you cannot make more than 10 pips change the system or strategy because it is a cheap one. Important is also to put proper SL! Too little and too much not good! Best adviser for accurate SL is to look ADR.

Hermes

[hankt80]

I trail my stops to pull as many pips as possible, some trades are done within hours but some last for weeks. Using fixed tp means you reducing potential profits when you open the trade.

[jrjulius]

Trendline is the wonderful way to exit

[hermes]

for intraday / short term traders, please take a look this article....hmmm..... hopefully you will find "aha-moment"... as I did ......cheer!!

 

http://www.multiupload.nl/CC5KQDDIVI

 

agrafes, why do you give links to ****en malware software? Why .pdf must be presented as .exe! I got from your link malware I cannot get rid off!

I really regret to download your shitty link.

Hermes

[Tan Kean Yong]

for intraday / short term traders, please take a look this article....hmmm..... hopefully you will find "aha-moment"... as I did ......cheer!!

 

http://www.multiupload.nl/CC5KQDDIVI

 

can you please upload again?