Recap of today's devastating loss. Most of my profits up to now were lost in a single day of trading.
Upon review, several of the losses could have been avoided turning the losses into wins and potentially making a profitable day instead of a losing one.
The signal was wrong a few times but the losses were minimized if followed properly. If I followed the signals as they came up, some of the big losses would have turned into wins. At least taking back some of the losses but potentially putting me into profits today.
2 Trades in Particular that could have changed the day for me:
Just with those 2 trades, I would be sitting at a $2300 loss instead of a $4700 loss for the day. And if I calculated more accurately, the impact for the day could have been even better.
All in all, I know the algo is not 100% reliable. But it is more reliable to follow the algo than my intuition. The algo will catch the momentum more accurately than my analysis as it is true price action and price momentum.
Moral of the story, trust the strategy to the dot. In the long run, the results will be better. This has been proven with all the backtesting I did!
Upon review, several of the losses could have been avoided turning the losses into wins and potentially making a profitable day instead of a losing one.
The signal was wrong a few times but the losses were minimized if followed properly. If I followed the signals as they came up, some of the big losses would have turned into wins. At least taking back some of the losses but potentially putting me into profits today.
2 Trades in Particular that could have changed the day for me:
- USDCAD SELL: This trade caused me $965.95 loss. If I entered a long instead, I would have made $1200 with 65 pips. This loss would have been a profit
- EURUSD BUY: This trade caused me $1220 loss. If I exited when alert came, I would have lost $800 but then made $240 and almost hitting $800 TP plus potential runners if it continues down. This loss would have been nullified.
Just with those 2 trades, I would be sitting at a $2300 loss instead of a $4700 loss for the day. And if I calculated more accurately, the impact for the day could have been even better.
All in all, I know the algo is not 100% reliable. But it is more reliable to follow the algo than my intuition. The algo will catch the momentum more accurately than my analysis as it is true price action and price momentum.
Moral of the story, trust the strategy to the dot. In the long run, the results will be better. This has been proven with all the backtesting I did!
