Daily max loss - Traders Hideout | futures io social day trading
futures io futures trading


Daily max loss
Updated: Views / Replies:622 / 11
Created: by Incognito Attachments:0

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 100,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

 
 
Thread Tools
 

Daily max loss

 
Rome Italy
 
 
Posts: 17 since Apr 2019
Thanks: 18 given, 14 received

Daily max loss

Should your max loss be smaller than your average winner? For example if you aim for 200 - 300 in a day. Would a 400 daily max loss be too big?

The following user says Thank You to Incognito for this post:
 
 
Quick Summary
Quick Summary Post

Quick Summary is created and edited by users like you... Add FAQ's, Links and other Relevant Information by clicking the edit button in the lower right hand corner of this message.

 
 
Mumbai, India
 
 
Posts: 105 since Jan 2019
Thanks: 144 given, 196 received



Incognito View Post
Should your max loss be smaller than your average winner? For example if you aim for 200 - 300 in a day. Would a 400 daily max loss be too big?

Yes, I don't think anyone would survive that kind of losers for period of time. On odd bad day might happen but if this happens 3-4 times I would assume there is need for taking a break.

I generally go by number of trades though. And I calculate SL based on ATR, generally it is 10 to 14% of ATR depending on volatility expected for the day. If at any given time, I get two SL down I leave terminal alone. Note that I take 2-3 trades only and mostly focus on scoring just RR of 1:2, 1:3 or a very rare day of 1:4.

The following 2 users say Thank You to LastDino for this post:
 
 
Moscow/Russia
 
Trading Experience: Intermediate
Platform: Investor RT, Overcharts
Broker/Data: NT Brokerege/Rithmic
Favorite Futures: NQ,YM,CL
 
jonnytrade's Avatar
 
Posts: 358 since Apr 2016
Thanks: 45 given, 238 received

Risk managment

No body can answer for your question correct. Because correct way will be look trading statistic for 1-2 years and only after you can understand how much day you lose or win. Which average win/loss day and etc. Only after that you can chose correct rules for your Risk management. If you only start in trading. Chose 1:1 or 1:1,5 ratio.

Visit my futures io Trade Journal
The following 3 users say Thank You to jonnytrade for this post:
 
 
Legendary Market Wizard
Portland, OR
 
Trading Experience: None
 
Massive l's Avatar
 
Posts: 1,825 since Mar 2011
Thanks: 1,356 given, 3,157 received

If your strategy needs a max daily loss then develop a new strategy.
My max loss over the past year was most certainly larger than my average winner (by over $300).

My largest loss over the past year was $745 per contract. My average loss was $260. Now if I decided I didn't want to risk $745 again and implemented a max loss of say $400 ($140 over my average loss, $35 less than my average winner) my other stats would significantly change as well. R/R ,winning %, max win (potentially), average win, average loss, etc. and therefore expectancy would change and no doubt for the worse.

I don't use arbitrary ratios for stop/profit targets.


Last edited by Massive l; November 3rd, 2019 at 12:31 PM.
The following 4 users say Thank You to Massive l for this post:
 
 
Rome Italy
 
 
Posts: 17 since Apr 2019
Thanks: 18 given, 14 received


Massive l View Post
If your strategy needs a max daily loss then develop a new strategy.
My max loss over the past year was most certainly larger than my average winner (by over $300).

My largest loss over the past year was $745 per contract. My average loss was $260. Now if I decided I didn't want to risk $745 again and implemented a max loss of say $400 ($140 over my average loss, $35 less than my average winner) my other stats would significantly change as well. R/R ,winning %, max win (potentially), average win, average loss, etc. and therefore expectancy would change and no doubt for the worse.

I don't use arbitrary ratios for stop/profit targets.

I only trade 1-4 trades a day though with bigger stops between 10-20 ticks per trade. Therefore, if I took 2 trades in which I risked 15 ticks each and both happened to be losers....I will be left with another 2 shots which might not be worth the potential risk of increasing my red day of $300 since $300 is generally my daily goal.

 
 
Legendary Market Wizard
Portland, OR
 
Trading Experience: None
 
Massive l's Avatar
 
Posts: 1,825 since Mar 2011
Thanks: 1,356 given, 3,157 received

as mentioned by @jonnytrade , we need to see the entire picture. You're leaving out other key data to make an informed decision.

 
 
Rome Italy
 
 
Posts: 17 since Apr 2019
Thanks: 18 given, 14 received


jonnytrade View Post
No body can answer for your question correct. Because correct way will be look trading statistic for 1-2 years and only after you can understand how much day you lose or win. Which average win/loss day and etc. Only after that you can chose correct rules for your Risk management. If you only start in trading. Chose 1:1 or 1:1,5 ratio.

Good point. With 1:1 / 1:5 .. do you mean that if you make an avg of 300 in a day you should stop if you lose 300 in a day?

 
 
Legendary Market Wizard
Portland, OR
 
Trading Experience: None
 
Massive l's Avatar
 
Posts: 1,825 since Mar 2011
Thanks: 1,356 given, 3,157 received


Incognito View Post
Good point. With 1:1 / 1:5 .. do you mean that if you make an avg of 300 in a day you should stop if you lose 300 in a day?

He's saying that's a good starting point but it's not how you're going to run your business if you want to do this for a living and/or the long haul.

 
 
abu Dhabi
 
 
Posts: 2 since Oct 2019
Thanks: 0 given, 0 received


Youíve probably heard it a million times before. When trading options, just like stocks, itís critical to control your emotions. This doesnít mean swallowing your every fear in a super-human way. Itís much simpler than that: Have a plan to work and stick to it.


 



futures io > > > Daily max loss
Thread Tools



Upcoming Webinars and Events (4:30PM ET unless noted)
 

Show us your trading desks and win $1,400 in prizes w/Earn2Trade

November
 

futures io is celebrating 10-years w/ over $18,000 in prizes!

Right now
 

$250 Amazon Gift Cards with our "Thanks Contest" challenge!

Right now
 

Day trading the E-mini S&P the Smarter Way w/DaytradingBias

Nov 12
 

Trading for Three Years or Less and You're Still Confused? w/Linda Raschke

Elite Only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
EasyLanguage Daily Profit and Daily Loss limit in strategy Big Mike EasyLanguage Programming 20 November 5th, 2019 10:34 AM
Math.Max, Max help with int kidvic NinjaTrader Programming 6 October 17th, 2015 04:14 PM
max daily loss charlie37 NinjaTrader 12 August 16th, 2014 02:38 AM
Daily Profit / daily loss question bdd069 Elite EasyLanguage Automated Trading 4 February 16th, 2012 12:36 PM
The First Loss is the Best Loss ZTR Psychology and Money Management 21 May 28th, 2010 06:18 PM


All times are GMT -4. The time now is 09:16 AM. (this page content is cached, log in for real-time version)

Copyright © 2019 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts