http://www.quantisan.com/how-to-stockpile-a-trade-position-one-step-at-a-time/ An engineer's training to trade for a living Fri, 03 Sep 2010 17:11:12 +0000 hourly 1 http://www.quantisan.com/how-to-stockpile-a-trade-position-one-step-at-a-time/#comment-154 Paul Tue, 19 Jan 2010 14:56:50 +0000 http://www.quantisan.com/?p=2955#comment-154 I'm glad you find this useful. I find that it's often the simplest idea that can make a huge difference in trading. I’m glad you find this useful. I find that it’s often the simplest idea that can make a huge difference in trading.

]]> http://www.quantisan.com/how-to-stockpile-a-trade-position-one-step-at-a-time/#comment-152 Don Mon, 18 Jan 2010 17:24:27 +0000 http://www.quantisan.com/?p=2955#comment-152 Took a long time for me to learn while trading stocks to start scaling in because I didnt' see the point - I was either all in or all out. But the market conditions that made that kind of trading are gone (temporarily). When market conditions changed, I remember the first time it finally hit me and I used this technique. You write one paragraph that sums the precept succinctly (which I had not yet quite gotten) : "You keep adding on this position as long as your trade setup (on a higher time frame) is valid. At the same time, you limit your risk by lowering the stop of your previous trade to breakeven. That way, even though you are stockpiling a position, the overall risk stays the same. This is an essential step in the technique. Otherwise the risk would just multiply." The article lays the steps out in black and white - very much appreciated. Took a long time for me to learn while trading stocks to start scaling in because I didnt’ see the point – I was either all in or all out. But the market conditions that made that kind of trading are gone (temporarily). When market conditions changed, I remember the first time it finally hit me and I used this technique. You write one paragraph that sums the precept succinctly (which I had not yet quite gotten) : “You keep adding on this position as long as your trade setup (on a higher time frame) is valid. At the same time, you limit your risk by lowering the stop of your previous trade to breakeven. That way, even though you are stockpiling a position, the overall risk stays the same. This is an essential step in the technique. Otherwise the risk would just multiply.” The article lays the steps out in black and white – very much appreciated.

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