A serious drawback of trading day-to-day 2022

5/31/2021 12:52 Read 134 views

The maximum leverage used is 94x and the minimum 15X. For the record, I have not opened a single position with a shaky hand, and I have opened every leveraged position sensibly, carefully and calmly.

Because recently I always hear under some entertainment bloggers what someone using how many times the leverage la, so powerful ah. I want to talk a few words, of course, I am sure that most of my fans are normal people traders, household pounds to all understand, as entertainment to see.

The use of leverage is not great, it is the most Fucking simple tool in the futures market, used to reconcile the size of the transaction. On the contrary, people who do not use leverage are idiots. Why? Leverage ensures both the safety of the principal and the need to open positions.

High leverage does not explain the position problem, depending on how much each stop-loss level brings the stop-loss range than the total trade size.

A serious drawback of trading day-to-day


 

Eg: Ming has a total trade size of 1 million USO and needs to open a position of 2 million USO at a certain time, so Ming transfers 50,000 USO to his contract account using 40 times leverage and initially sets a stop loss of 20,000 USO to complete the trade plan.

In the above example, Ming has a total size of 1 million USD, a margin of 50,000 USD, 40 times leverage, a margin ratio of 5 %, and an initial planned stop loss of 2 %, i.e. a stop loss of 2 % of the total size of the initial loss.

Both to ensure that the remaining $ 950,000 lying in a safe wallet from extreme quotes and exchanges, but also to ensure that the need to open a trade. In the hands of normal people this is a very good basic tool for trading.

Of course, pure gamblers do not think so, and amateur futures losers always think that leverage is the devil, once opened to open a full position shuttle, stop loss is not.

So every time either open a position, profit, stop loss, hold a position are shivering. The end is also the end of the loss of cursing. BTCUSDT PERP use more pole lazy situation.
A serious drawback of trading day-to-day # average-type indicators trend trading is the inability to control the degree of loss of each single.

For example, if the daily weekly line 2019 / 9 / 25, weekly monthly line 2020 / 3 / 12, encounter a day down 30 %, 50 % hit to fall below your average-type indicators, you tell me you lose or not to lose it.

The body is uncomfortable, and then you seem to see through the trading Avenue, all the scams, play a hair trading, angry on the spot loss deleted the software, or dry business slowly Hold it.

What is the class average indicator, is that you provide the main indicators are the current trading App can give the class average, EMA, MACD, SAR, etc. are all what MA, basically reference to this kind of have to wait until the closing price to operate even if it is a class average.

My logic is not to look at all indicators, only focus on the position profit and loss, such as my total size earned X% I add a position, the total size of the loss of Ya%, I will all stop loss or exit.

All operations are only related to the profit and loss of my position, the K line only played the direction of my initial opening. As for those indicators, the original role is to feedback the invention of these indicators of the position profit and loss situation.

In fact, my operation is essentially a non-figurative indicator, the grandfather of Livermore special, I do not tell him the general public.

 


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