How to Trade without Stops!!!!

[osaze]

Have been doing an extensive research on how to trade without stoplosses and still be very profitable. I mean letting your losses run and still come out profitable on the long run. The secret to making this work is simply by pairing only very strong currencies together or very weak currencies together..

 

Weak vs. Weak

 

or

 

Strong vs. Strong

 

and not

 

Weak vs. Strong or Strong vs. Weak

 

From my findings, two extreme currencies (like weak vs. strong) causes too much volatility which we don't want to happen on the long run.

 

Hopeful this will help you make better decisions in choosing the right currency

[jsonc]

what time frame are u using?

[osaze]

what time frame are u using?

 

I used 4hr timeframe.

[Freddie]

Interesting idea but I thought that we were always trading weak vs strong else there is no movement. I hope that I am not just being pedantic.

 

Do you have any examples?

 

Freddie

[osaze]

Interesting idea but I thought that we were always trading weak vs strong else there is no movement. I hope that I am not just being pedantic.

 

Do you have any examples?

 

Freddie

 

Trading Weak vs. Strong Currencies leads to really strong trends and thats what you definitely want when trading with a trend following system "TREND IS YOUR FRIEND". And honestly, most systems in the market are trend following.

 

But when trading without stoploss we need currency pairs with a very small daily, monthly and yearly pip range.

 

The theory behind this style of trading is "Prices will always revisit previous places"

[arnaudbzh]

Best solution to loose capital

The 1% loosing trade will devasted your capital

[johnjet]

Ain't this risky if something like Greece fallout happens? How do you quantify the risks if you don't put a stoploss? And won't you miss future opportunities by placing a trade and sitting on it?

[anton1713006147]

Hi osaze,

 

What is the definition of strong and weak?

Is there any parameter to decide which one is strong or weak?

 

thanks,

Anton

 

 

Have been doing an extensive research on how to trade without stoplosses and still be very profitable. I mean letting your losses run and still come out profitable on the long run. The secret to making this work is simply by pairing only very strong currencies together or very weak currencies together..

 

Weak vs. Weak

 

or

 

Strong vs. Strong

 

and not

 

Weak vs. Strong or Strong vs. Weak

 

From my findings, two extreme currencies (like weak vs. strong) causes too much volatility which we don't want to happen on the long run.

 

Hopeful this will help you make better decisions in choosing the right currency

[dave123]

Not sure whether I could handle the potential drawdown. Sounds like a 'test your nerves' strategy. However I might be wrong:-)

[Guest David1713006337]

The problem with this method is that you must have an extensive trading balance and this method does not work. Don Stinitz, the infamous forex con artist tells people this same thing and sells his no loss EA. in 2007, Don entered his no loss EA in the trading championship and told everyone to watch how it will amaze everyone. At the end of the contest Don lost over 50% of his balance and ended up in 238th place.

 

Link to Don's contest results:

http://championship.mql4.com/2007/users/Steinitz/

Edited September 26, 2010 by David

[PhiSquared2618]

Have been doing an extensive research on how to trade without stoplosses and still be very profitable. I mean letting your losses run and still come out profitable on the long run. The secret to making this work is simply by pairing only very strong currencies together or very weak currencies together....

 

The research you have done Osaze: How much unoptimised data have you walked the system forward through?

 

I would expect that weak vs weak (or strong vs strong) currency pairs would reduce volatility, with reduced movement in both directions up-down.

But you seem to be saying that directional movement between the pair is selectively changed in favour of one currency over the other. This seems a difficult thing to achieve. Are you trading a directionally neutral system using pairs expected to cancel out each others moves?

[siko2000]

Best solution to loose capital

The 1% loosing trade will devasted your capital

[li21]

How does this work?. Any further details or case study?

 

I entered a position of 1.2 lots of AUDUSD.. these are 2 strong currencies right?

That was a sell at about 0.93

 

I is reaching about 99c .. all time high..

 

I am down about $6K on my 10k account.

I lost another 2K trying to scalp.

 

I'm left with another 2k of free margin.

If it goes higher than parity I will get margin call and lose everything..

 

 

this expereince has taugt me only 1 thing.. Stop losses are a MUST.?

 

Should I still ride out the losing trades?

[superdata77]

Hi, try to learn Steve Candle charts courses first before trading without stops. Trading without stops is not recommended

[sgsgsg]

Trading without stop loss is suicidal.

It's guaranteed that such a person will loose his account at one point of time.

Ahh!!! you can trade without stop loss if you monitor your account 24X5

[wl11y]

Well, at least you must have a certain 'stop-loss' in your mind (if you don't want to put it in your position explicitly) because you can't expect the market won't move against your position. As others said already, "Trading without stop loss is suicidal".

To try it without Stop Loss, cultivation of knowledge about chart movement and current market situation, and the most important thing : discipline (have a 'cold' heart to cut the loss) is a must.

[tmalone]

Have been doing an extensive research on how to trade without stoplosses and still be very profitable. I mean letting your losses run and still come out profitable on the long run.

 

Please enlighten me: Why would one even think of devoting "extensive research" on this subject? The ONLY reason for an individual to speculate in any financial market is PROFIT.

There is no other reason for it. So why would the idea of "letting your losses run" even begin to be contemplated?? Letting losses run is diametrically opposed to the goal of obtaining profits. This is exactly like saying: "I'm devoting extensive research into arriving at a destination by going in the exact opposite direction of that destination". Mind-boggling to say the least.......