thread: 1:1 Risk Reward Ratio - Why it just makes sense

So in other words I appreciated your remarks.

Thanks.
I used to utilize your egy for some time and it works nicely indeed when one masters one's technique. My problem was the re-entry on precisely the trend also, more generally, the trading frequency of the egy. I now trade less often (say 2-3 times per day) and manage to maintain my winning positions for many days using a relatively coherent exit egy whereas I used to trade 10 times more without better results.

At the end of the day, the gap between our approaches will be less about R:R but about personal plogy and various comfort zones.

and figure out how to maintain my winning positions for several days

Clearly, now is not one of those days...

It is refreshing that someone puts the plogical game first. Just, in trading, it's hard to pin down percentages in order variance and to apply odds games. There is not any certain number of thus and cards hands.

You could have a set method and thus rank different applications of it, but there, you would need to filter through different kinds and period frames of charts in an exhaustive study and make precise principles to delimit how to use the procedure. Being only an extremely precise...

Yes, you're correct and just with games such as for instance blackjack we understand what our edge is, or better yet, the house's edge. You can ascertain that on a hand basis and over a large sample size. With trading that edge can not be determined per individual trade but just with a big sample size. I don't observe any difference in the two examples that are last. Markets are always changing and gamers are always changing also. So I must find that small edge I believe I need to achieve success and do this with a trading strategy which requires away as many factors as I can.

I really hope I understood your point properly and mine comes across definitely also. Sometimes items get lost in translation.

How do I get a bigger version of the picture in your member profile? I am curious what it's about.

In the conclusion of the day, the gap between our approaches will be about Rbut about personal plogy and various comfort zones.

If you had to give a percentage to the significance of your methode/system along with your personal plogy and various comfort zone.

Really just interested in your view.

Clearly, today is not one of these days...

Bad day at work?

Yes, you're right and only with games such as for example roulette we understand what our edge is, or even better, the house's edge. In poker you can ascertain that on a hand and over a large sample size. Per individual trade that border can not be determined with trading but only with a big sample size. I really don't see any difference from the two examples that are past. Markets are constantly changing and players are constantly changing. So I must discover that little edge I think I have to achieve success and do this with a trading method that requires...

Yeah, alright, your response helps me know how to add odds better; and, this is what I meant, restated:
Every drawing device, say, a symmetric triangle, has much likelihood (from a large, diverse sample dimensions, which one can begin at http://thepatternsite.com/st.html) of functioning, depending on its surroundings and insides. Take a bunch of patterns and figure their juxtaposition at a chart area to get a general picture of the prospect of any 1 trade.

My profile picture is of the cycle of market feelings, which I sometimes use in an abbreviated form I added a few things to. It is in http://www.google.com/search?rlz=1C1...arket emotions plus it along with other versions of emotion are discussed in this thread.

Best of luck out of your own studies.

If you had to provide a percentage to the significance of your methode/system along with your personal plogy and respective relaxation zone.

Really just interested in your opinion.

Bad day at the office?

Hard to distinguish between system and plogy. Once you've got a system you are 100% familiar with (i.e. where you are plogically prepared to take losses provided that you understand you have a positive expectancy), there should not be any space for plogy whatsoever.

Not a bad day, just a rough market which clearly lacks direction... I'll live

Ha-pattern:

Tnx, this is another reason I am happy that this thread came back to life.

I am definitely gonna read up on the coils. I am convinced it can't hurt to have some understanding of that concept. To appears to offer you a lot of info. The guy is funny.

This cycle of market feelings left me laugh. So recognizable:--RRB-

Darko, I got ya. Happy trading

I used to exchange 1:2 or 1:3 with about a 38% win rate. It worked and made sense to be making about the winners for obvious reasons. I have found I've been able to earn more money in 1:1 with a 62% success rate. The cause of this is due to the fact that the drawdown is significantly less because the win rate is higher. Because of draw down I can risk more. I went from risking 0.25percent per trade to adapt 10 or more consecutive losers to risking a whole 1% each trade.

I've doubled my profit this manner

check the stats for yourself, The first picture is a duplicate of my stats trading in 1:2 and gives 4 weeks of information from last year. The next reveals the new risk/reward at 1:1. Its early days but now I would need to state
Roofx is 100% correct

I have discovered I have been able to make considerably more money at 1:1 with a 62% win rate. The cause of this is due to the fact that the drawdown is less since the win rate is greater. Because of draw I will risk more.

Precisely

Fascinating discussion, I think (but am not sure!) The solution is to include systems (and I mean totally tested systems not only grabbing a new one of those forums that appear to be working) First you need to have the metrics on your current system going back 5-10 years (in case you haven't been trading it that long afterward manually backtest commerce by trade....secondly the new system should aim to match the old system ( if you place the equity curves together for old and new the curve ought to smoother (not always larger!) . . .the system I have been trading...

100% agree and that is precisely the type of thing I do too. I've got 2 systems too for this reason - smoothing the equity curve out. And in my opinion, its probably the easiest means of managing drawdown. You cant avoid it but you can offset some of it by having more than one system.