Mike's price action video journal. - futures io
futures io futures trading

Mike's price action video journal.

Discussion in Trading Journals

Updated October 16th 2013 by saiga
      Top Posters
    1. looks_one saiga with 45 posts (55 thanks)
    2. looks_two ghl123 with 4 posts (6 thanks)
    3. looks_3 Bri219 with 2 posts (2 thanks)
    4. looks_4 Pauley with 2 posts (2 thanks)
      Best Posters
    1. looks_one SteveH with 5.0 thanks per post
    2. looks_two Masber2000 with 2.0 thanks per post
    3. looks_3 ghl123 with 1.5 thanks per post
    4. looks_4 saiga with 1.2 thanks per post
    1. trending_up 8,059 views
    2. thumb_up 85 thanks given
    3. group 11 followers
    1. forum 63 replies
    2. attach_file 0 attachments

Welcome to futures io: the largest futures trading community on the planet, with well over 100,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
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

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

Search this Thread

Mike's price action video journal.

(login for full post details)
  #61 (permalink)
Orlando, Florida, USA
Posts: 34 since Oct 2010
Thanks: 3 given, 96 received

"There is one kind of exit that is designed to get rid of losses, but it totally goes against the golden rule of trading of cut your losses short and let your profits run. Instead, it produces large losses and small profits. This type of exit is one in which you enter the market with multiple contracts and then scale out with various exits...On a gut level, this sort of trading makes sense because you seem to be "insuring" your profits. But if you step back from this exit and really study it, you'll see how dangerous this type of trading is.

What you are actually doing with this sort of exit is practicing reverse position sizing. You are making sure that you will have multiple positions when you take your largest losses...It's the perfect method for people with a strong bias to be right, but it doesn't optimize profits or even guarantee profits. Does it make sense now?

If it doesn't make sense to you why you should avoid this sort of trading, work out the numbers. Imagine that you only take either a full loss or a full profit. Look at your past trades and determine how much of a difference this sort of trading would have made. In almost every instance when I've asked clients to do this, they become totally amazed at how much money they would have made holding onto a full position."

-- Van Tharp, pg 265, 1st ed of "Trade Your Way To Financial Freedom"

Pick a HIGHLY VOLATILE trading instrument (e.g., CL). Trade one contract. You can make a nice living doing that.

Reply With Quote
The following 5 users say Thank You to SteveH for this post:

Can you help answer these questions
from other members on futures io?
Convert NinjaTrader NT7 indicator to Tradestation EasyLanguage and RADARSCREEN
Platforms and Indicators
Issue meeting order entry conditions
Elite Automated NinjaTrader Trading
Last 5 minutes Label
Moving average with Lag reduction
Best Threads (Most Thanked)
in the last 7 days on futures io
FIO Journal Challenge - June 2020 w/SharkIndicators
71 thanks
Spoo-nalysis ES e-mini futures S&P 500
66 thanks
Bookmap vs Jigsaw Daytradr
31 thanks
What is your single biggest weakness?
27 thanks
AMP Futures / AMP Global Review
27 thanks
(login for full post details)
  #62 (permalink)
Oakley Kalifornia
Posts: 98 since Sep 2012
Thanks: 75 given, 103 received

Pauley View Post
Hi Mike,

Great job on the video and I like where you are headed, taking FT71's advice about not micromanaging trades has been a big help for me as well. Especially the coin toss experiment! I see you are going with the 1:2 risk reward and an all in all out strategy at the moment. I know FT71 is big on scaling. I'm sure you are familiar but have you put much thought into perhaps exiting 1R with two thirds position and running the last 1/3 as a simple scaling method instead of all in all out?

I assume that you have thought about it already and are choosing a simpler strategy right now so you can correctly evaluate your methods and I completely understand, but I was curious. For me, scaling is the only way, from a psychological standpoint that my brain can handle the trade and I am always amazed at people who can deal with an all in all out method. Not to mention, I feel it has a statistical edge due to the runner's ability to catch larger moves.

Keep up the good work!


Thanks Pauley

I scaled out most of this year and some last year. It is a lot easier psychologically, but when I thought about all the 100% immediate losses that I was taking and the lack of larger winners I made the decision to go all in all out. Everything seems so give and take, if there is an advantage to either system, its small. I don't know what is the best yet and probably never will, but this is the system that I am testing right now and am trying to get a large sample size in order to correctly analyze my progress. I feel that all in all out is correct but like everything else in trading I am not 100% sold on anything.

Reply With Quote
(login for full post details)
  #63 (permalink)
Oakley Kalifornia
Posts: 98 since Sep 2012
Thanks: 75 given, 103 received

Thanks Steve!

It was your original post a while ago that made me take the jump to all in all out. It was exactly the push I needed.

Reply With Quote
(login for full post details)
  #64 (permalink)
Oakley Kalifornia
Posts: 98 since Sep 2012
Thanks: 75 given, 103 received

I have been very busy recently relocating from California to Austin TX. I found a house now need to close and make the move. I have been paper trading and have been watching the market, I have not quit and will continue once the move is completed.

All the best!

Reply With Quote
The following user says Thank You to saiga for this post:

futures io Trading Community Trading Journals > Mike's price action video journal.

October 16, 2013

Upcoming Webinars and Events

Free BloodHound Licenses for everyone!


Every journal equals ten meals for the hungry


Copyright © 2020 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