Support and Resistance Trading Forum

Re: Trade idea
By:Rob
Date: 1/13/2010, 10:26 am
In Response To: Re: Trade idea (Buck)

Great question!
I do not worry about risk/reward because in fact, it doesn't really exist in my world. What is important is the win/loss ratio, which for me, that runs approx. 90%. So, for my style, I trade like an insurance company - 100% statistically driven. I give no thought to it, it either fits into the model or it doesn't. Every repeatable signal is tracked for distance traveled, draw down, time, volatility, market, and of course trend. When probability is greater than 85%, I'll look at it, when it is 90% or greater, I trade it. I approach day trading/scalping the same way... No thought, the signal is there or it isn't. I was hoping to do a series of webinars to show people how to collect data and develop trading systems, but wasn't able to connect with Erich to bring it about. Now the NFA has brought in some new rule changes that need to be clarified. Once I know accurately what I can and cannot do, I'll be doing some videos and posting them my blog. They should be pretty cool.

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