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I find this theory fascinating, although I must admit I'm still a bit confused. Lets say that normally you would risk 10 tics in the CL which is 100.00 per contract and you are shooting for a 10 tic PT would you now raise that 10 tic stop to 100 which is 1000.00 per contract? Do you still have the 10 tic PT? And once you get the profit, you're saying that you continually do this with the same 100 tic stop but now perhaps trading additional contracts for the same 10 tic profit? Do I understand the idea correctly?
Thanks,
Jeff
Can you help answer these questions from other members on NexusFi?
Can't really with futures because the contract minimum is one and the tick gain/loss is fixed, eg 12.50 for 1 tick on ES (S&P).
I know what you mean in FOREX it is the position size or lot size.
The room to move in futures need to be wider. Especially fast moving animals like CL, crude. I have experienced that crude with a 4 tick SL will not work because it moves so fast that the SL sent to the exchange is not valid because the price has moved way beyond your SL target.
A similar method I use is with one contract in consolidating position.
Use 1 contract or lot instead of 2 or more to scale out. Minimizes your risk. Imagine your big target but you need small step to reach it. This is an extreme scalp with a bigger picture in mind.
Enter 1 contract with a pre-determined stop that you are comfortable. 4 ticks
Take profit earliest that you are sure you can take, eg 4 ticks.
Enter where your exit was and now place the stop where your original 1st entry stop was. This means your stop is now 8 ticks behind.
Now my target is bigger with money already in the pocket. This is consolidating the position. I can also choose to close the positions based on situations like eco news or when my gut is wrenching "this look bad". I can exit say at 61.8% extension and wait to enter at a discount to further enhance my profitability and move my stop to a comfortable level. Still bearing in mind that I have money in the pocket confirmed.
This bearing in mind of the big picture but scalping my way there and giving back little or if you are confident, place the stop in your original first contract's stop.
I find this theory fascinating, although I must admit I'm still a bit confused. Lets say that normally you would risk 10 tics in the CL which is 100.00 per contract and you are shooting for a 10 tic PT would you now raise that 10 tic stop to 100 which is 1000.00 per contract? Do you still have the 10 tic PT? And once you get the profit, you're saying that you continually do this with the same 100 tic stop but now perhaps trading additional contracts for the same 10 tic profit? Do I understand the idea correctly?
I don't know what this means - raise that 10 tic stop to 100 which is 1000.00 per contract?
Raise the stop amount yes. The contract amount ? I trade currencies and don't know the translation. You should be trading less money with larger stop. The Risk$ is still equal to your usual play. Profit target should be higher and you have more wiggle room to get there. 10x or more. Futures may not scale like this. I can trade Spot Forex as low as @ 50 cents a tick. You are essentially playing on a larger time frame and trading less stressfully. If you pyramid the profits giving them time to get there you can trade with "their money" after a few trades. "Their" money + less time looking at charts =
If you can get your stop far enough you can play multiday which can turn into crazy money.
edit - looks like from post above that futures doesn't work like this. Sorry. Different animals...
Even 6E, EURUSD futures will close at intraday. Though at $12.50 a tick, 6E is also very profitable. You can try it intraday. One contract margin is $1000 or $500 depending on the broker.
I know what you are saying. I think my method is similar. Using 1 contract and getting in where the exit was and leaving the stop at the original location of the 1st entry. That I lose only my original intended money.
I have the same problem when I trade CL. I do well when its trending but chop mode always hits my stop and then go in my intended direction. I figure my stops were too tight. But I also didn't want to widen stops.
I found out that I could trade cl with micro lots with some forex brokers. I could go up to $1 per tick instead of the normal $10 per tick if routed direct to the exchange. So now I can widen my stops, take higher targets and have less stress.
I think this is only a problem for traders like me who have less than $10000 account. CL can move 30-50 ticks in a blink.
But of course some of these forex brokers have their setbacks too, I think they run their own price exchange so you must find a reliable one. The one I trade with has the exact price spreads as my Ninja/Zen Fire DOM. So no problem so far.
is it possible to add a "Arrow" in the Visual at the entry like how is shown in Roonius's SuperTrend. It helsp a lot to spot the entry and it looks very clear in the chart.
In fact, wanted to ask the same for TripleEMA or TrendBars and am sorry I am not coder so don't know how to add it myself
traderjoel why dont you just try a different market like the 6e or 6j i think that by just going mini will not fix any problems you either need to work thru why youe not able to stay out of chop or move to another market thats alittls slower on the moves maybe even try the xn or the zb...sharky
and try the sharkband set to 8 or 10 and trade breakouts of the s/r zones or put a bolinger band on your chart there are many ways to stay out of chop,try the sharkfin set to 5 or 6...sharky
confused. Lets say that normally you would risk 10 tics in the CL which is 100.00 per 
