As a brandnew beginner in FOREX I never understood the other "Gurus" praying that it is so important to stop your win! Everybody is teaching those ratio-things… Stop-Loss is ok, but cutting my potential win never sounded logical to me. Using those 2:1 or 3:1 ratios is preventing everybody from really playing the game and win. I can see now that this is really b*sh*. Stop-Loss and Scaling out is great! Thanks, VP, for the truth about this.
A good trend following system will allow you to profit on the trends while at the same time somehow mitigating losses on whipsaws. By using that rule of scaling out you are protecting your bottom line while at the same time allowing yourself to profit on trends. I really appreciate this information. Thank you.
May God bless you, and I know already has. I can't thank you enough for your amazing direction and actionable motivation. Anything I can do to help you back then let me know. Keep up the great work VP I am daily acting out these lessons and very thankful!
Discovered this Chanel a week ago, since then all my free time has gone in watching it and i don't have a lot of it. @ this point i feel like a water filter letting all the great tips thru and filtering the shit out. Have learned a lot more in this week than slowly figuring it out by myself for the last year. Thanks VP! Your a legend.
VP, I am a new sub to your channel and want to say thank you. I have been trading on and off for 2 years with both live and practice accounts with some small successes and have been to some free introductory classes that have helped a little. However, just by watching 5 of your videos you have cleared up a bunch of the bad habits I have picked up on my own and the ones I was taught. I will start trading live again after go through the rest of your channel. Thanks!
Going over your videos again and again, drilling the principles in like life itself depends on it ;-)! I salute you sir, even in the far Belgium your student base is growing.
Yup. Going over your videos... over and over... relentlessly. Every time I come back, after watching or reading something else of yours, I pick up something that I missed before! You are changing my life, and my mind!
thanx for your time! the least I can do, is to like and comment on your videos! I have been trading for 15 years and from I start to follow you, I have increased in my wins with over 40%. So THANX!!!
I feel like you might be the "Richard Dennis" of this century VP, and we are your turtles. If you read this comment, thank you for teaching all this valuable stuff, it is really life-changing, you are a good person.
Every videos you make is so logical and practical! I couldn't wait learning every single thing you are about to share on this amazing channel. You are truly an extra-ordinary Mentor! God bless you more Sir VP!
i think this is the most important video youve ever made. This is pure gold. This is what separate a breakeven trader from a 1%er. You are unique. Thank you
Hey VP, wanted to start this comment by saying I am a huge fan of your channel and have learned so much from your videos. I rarely ever comment but I have watched all of your videos and still get excited when new ones come out. I wanted to write this comment to tell you about an indicator I have had a lot of success with that you have mentioned in one of your videos talking about trends. The indicator is Super Trend, you used it as an example of a chart indicator, thanks to you I tested the indicator and found that on settings 10,1 the indicator has a lot of success. It does have some false entries but paired with the other pieces of the algorithm it works great. I am currently using it as my primary confirmation indicator. I just wanted to thank you and share one of my great findings with you, hopefully you can add it to your toolbox.
When I first found out about Forex I wanted to learn about it but I couldn't afford the classes. Your videos made me learn a lot and I dont think i'll nothing in those classes compare to what you've taught me.. my Win rate is getting pretty good and with my stop loss on point. I am becoming profitable. You doing this for free should be illegal lol Thanks bro
Just going through your videos from the beginning and I've got to this point. I've been trading for 25 years, I've won and lost but never was consistent. It's testimony to my love of charts and my burning desire to never give up. I've read Michael Covel's trend following book over and over again but never had a hard and fast rule based trend following system. For me, this video in itself is worth it's weight in gold and is a real game changer as far as I'm concerned. You should be right up there with the turtle traders, Bill Dunn and Ed Seykota and your value is more important because you are a teacher and a guru. Thank you for doing something that no one else is doing. Ash
Sometimes you need to know when to give up, if your going on 25 years and still haven't made decent profits than it's possible its not for you and don't waste another 20 years
25 years?? 💀⚰️ I'm finding profitability and consistency after 1 year and 4 months. So you've been unsuccessful at trading for longer than I've been alive.
VP I see your point regarding using Ratio in the trading. I also see that lots of traders misunderstood of how and what for Ratios should be used. Actually, Ratios is a confirmation indicator and the rule tells: "Do not trade if you have at least 2:1 or better P/L ratio." It does not say take/cap your profit at x2 times of SL.
WOW JUST WATCHING THIS VIDEO AND LEARNING ABOUT WHAT YOU SAY ABOUT BREAKING MY TRADE INTO 2 IS EXACTLY HOW I TRADE AND BOTH OF THEM WIN ALOT OF THE TIME. I KNEW I HAD A POWERFUL SETUP I CREATED I JUST DIDNT HAVE CONFIRMATION UNTIL I LEARNT ABOUT SENTIMENT. I CAN NOW USE MY TRADE SET UP TO PLACE ACCURATE DISCAPLINED TRADES ALL THANKS TO YOU. I SO UNDERSTAND THE WAY YOU EXPLAIN THINGS ITS SO SIMPLE BUT FOR YEARS I STRUGGLED DOING THE THINGS I SHOULD NOT HAVE. I NOW ONLY USE A HIGHER THAN USUAL MOVING AVERAGE CROSS ON A SUPRISING LOWER TIMEFRAME AND ALONG WITH DAILYFX I CAN NOW PINPOINT MY TRADES. I WILL DEFINITELY GIVE CREDIT TO NO NONSENSE FOREX WHEN I SHARE WHAT I HAVE LEARNT. ABOUT BLOODY TIME IS ALL I CAN SAY LOL. I HAVE WANTED THIS FOR LIKE ALOT OF FAILING TRADERS THAT NEVER GIVE UP YEEEEEEAAAAAAARRRRRRSSSSS LOL
Ok VP i m new made some mistakes. But now i m watching every video again second time. Made 8 trades in 2 days and are still running at the moment and 6 off them are profit already... man thank you! Best regards
It's probably the first time i comment on youtube but men you made do it i've been watching your videos for 3 Days from the first video and writing notes and Never skip one video and all i can say that you're a LEGEND thank you and i really appreciate your work ❤
I am disappointed i did not find you sooner! I recently found you on the Apples Podcasts earlier this week, currently on episode 19 and I am now going through youtube to. Listening to the podcasts when travelling, cooking etc. Watching the videos in the afternoon. Thank you for sharing VP, you are very good at explaining things. Thank you :D
VP you are the best ... If I knew this when I started trading my trades would be totally different.... I am still watching and consuming all the content and applying them and I can not imagen the improvement I am in so far .... Thank you thank you million thank you
Once again man thank you. This should seriously be one of if not your top video. This with proper risk management seems like a sure thing just by itself.....not that I'm about to just flip a coin but still this is powerful stuff.
i risk between 25 and 40 pips (calculated with a piece of my algo) with a 100 pip TP so i guess thats 4:1/2.5:1 . when the trades hit 50 pips i move SL to entry and let it run. actually works phenomenally well in conjunction to trend
The problem with risk to reward ratio mainly is it forces you to put a stop loss at certain places and guess what, the bankers know the most common risk to reward ratios meaning they know where the stop losses are and they will drive that sucker right towards them all day long.
If you realize you won those trades when the AROON hit 100% not when it first cross over you are not using it right plus change the settings to 3 or 7 for faster entry
I've been doing 1.5 ATR Stoploss, 1ATR half profit, let the other half run. I stop if it crosses below baseline. HOWEVER. Sometimes a F YOU candle just comes down to my stop loss making me lose a ful 1%, which is a big big loss compared to the half-wins I get. Any solutions?
I read most of the comments before I thought I'd throw in my $.02. I'll admit, I didn't think a video on ratios would elicit such a degree of polarization with regard to some of the opinions scribed herein. There were some who seemed genuinely offended that the very notion of questioning the "ALMIGHTY 2:1 RISK TO GODDAM REWARD RATIO" was sacrilegious and those who oppose it should be banished. I wonder if the point was missed...I apologize for this tome, but it's doesn't cost anything to try and help those who might need a little nudge in the right direction. 1) Trading any ratio is an all or nothing venture. It's basically binary - it either comes to fruition, or it stops out. Amen, period, and end of story. Most retail traders do not place multiple trades from the same price. It's not what we were taught, nor was it ever advocated by those who "teach". If you do, then you my friend, are an anomaly and Godspeed in your trading. 2) I have in fact, heard those discuss scaling out to some degree but many do not actually possess the discipline to take a preset portion of their trade off. That's greed a-knock'in - one of the two demons that will stymie your best efforts. Hence - place two (2) trades. Easier to take one off, mentally and emotionally. 3) If you trade an algorithm with a decent exit indicator, more often than not, it will signal you to exit a trade before you hit your stop. It's not personal. The market is not screwing with you. Take the trade off and look for the next one. Business as usual... 4) Why, why, why would you want to stop a trade in profit with a fixed (and arbitrary) point of profit? Lookit - I'm not trying to piss anybody off but seriously - think about it. "Hmmmm...the trend is strong with this pair, but I'm at my rinky dinky R/R ratio (which was probably based on a small stop from a support/resistance/trend/fib/pivot/imaginary line) so I'd better take my rinky dinky profit. After all, nobody went broke taking money off the table, right??" Hells bells...I'd rather be smart about it and *A* Use an exit indicator to get out. *B* Initiate a trailing stop at some point after moving your stop initially to break even with a number that works well for you (I've played around with some real killer indicators that calculate a trailing stop based on ATR. Fucking awesome runs, in my humble opinion). *C* Watch volume for signs that the trend may be entering a consolidation phase or a counter trend reversal and tighten your stop in case price decides to back over itself. Protect yourself, and your position. If you are from the R/R ratio camp and it works for you - carry on as usual but I'd imagine you're intelligent enough (since you're here listening to these podcasts) to admit that this concept has exceptional merit. Try it on a trade (demo account please) and see how it does. Peace, out.
Thanks for all the info given to us...how psychologically are you prepared to see a pullback to breakeven or even a loss after being 100+ pips in profit.. ?? maybe SL is moved to breakeven and it's not a loss.....but... what about the time invested in that trade?.. maybe 2 weeks if we trade the daily chart? Is it wise to return profit to the market?? Man How do you deal with that??
VP you are a genius! Man love your videos and honestly I cannot thank you enough for all your advise, videos and podcast. I am fresh new to this but am I glad I have found your channel. Things are so confusing out there but you make it sound so easy. God bless, I will never forgot you for the great work you are doing. All the best.
Interesting, my main question after watching this is... Why scale out when you can set a trailing stop loss? Seems like that would allow a good way to exit without worrying about losing profits. Maybe I'm thinking of it incorrectly.
Thank you. Ratios using most of the dirty dozen tools have battered my trades and my trading psychology way too much. Not any more. Thank you, Patrick.
This video has solidified something that I've thought for a very long time, and have been kicked off of webinars , and out of "Trading groups" for. That ratios make no sense, and the majority of people that use them are hope traders. Wanna revenge trade? Use ratios.
Your video about crypto point to your management playlist as well but how the HECK can we follow it if there is no calculable pip value for BTC...? Got wrecked last year and really would like to get back in the game without the same mistake... heeeelp..... x)
JUST A QUICK QUESTION WHAT IS THE INDICATOR YOU HAVE AT THE BOTTOM THAT LOOKS GREAT ON A DAILY CHART :) GOT IT aroon up and down indicator "NOT BAD JUST HAVE LOADED IT TO CHART BUT NOT SURE IT WOULD HELP ME BUT IM SURE IT WORKS WITH YOUR SET UP FOR SURE CHUR :)
OH MY GOODNESS 🤣🤣 this video almost took me out... I was trying to cook and doing just fine until you mentioned the one piece of broccoli eaters 🤣🤣🤣🤣🤣 this was hilarious but yet it makes so much sense! 👍🏼👍🏼👍🏼👏🏼👏🏼👏🏼👏🏼
your way of telling all this things is so refreshing. :) So bad, that I found this channel so late. But I already took the lessions on your site and made a new setup with your advises BESIDE my trading. Just for curiosity.... I will inform you about my experience.
Please do you know the name of the indicator VP USED as exmple I hv been looking for it please if u do help A friend Thanks VP FOR YOUR CARE WE APPRECIATE
The Aroon Indicator (often referred to as Aroon Up Down). You have to tweak the setting until the cross matches the entry or exit point in the trend. It is set to 14 by default. That setting sucked. But I played with it until it matched the beginning and end of trends. Boom.
hey VP! you should consider making a Telegram or some kind of community chat where the community could talk to each other. I think it will thin the number of basic, and repetitive questions for newcomers. It's great for people discussing ideas and helping each other especially newbies.
hi VP, thanks a billion for your generosity.... i found you before i paid for a professional course, and man i can tell you the great differences of your trading style (algo) with the rest that i've learned.... Can't thank you enough like others do..... now i have found my confirmation indi and baseline, still testing and searching for the right volume and exit indi.... working hard hehe....
one reason to cap up side is when you do not have the time to watch your charts all the time and do not have the time to set your stop loss at breakeven.
I was doing 1.25 to 1 in my back testing. And after testing my strategy thousands of times, one thing I noticed is how much of the actual trend I was missing each time. So I knew there had to be a better way. I was profitable. However I knew I was leaving so much on the table. Still waiting for the video in series ( hopefully) when in the day do I start trading. I'm sure its there somewhere.
As he encourages us to make our own trading system, it wil be very difficult for the big banks. He does not give the system itself; only the structure.
Thank you, man I want to leave a comment on every video and once im through my last one youll see all the changes ive made progressively through each video.
Dear, thanks for ur different approach of analysis which synchronize my mind. All the indicators are lagging for analysis and want to be avoided. I am new but watched all ur podcasts, sometimes complicated, inspiring, eye opening and sometimes very indirect . Could you be specific about leading indicators(if any).
I really do have a question. For someone with less than $5,000 to invest, how would you recommend we enter the market? I am looking at studying some traders and copying their strategy rather than investing myself and losing money emotionally. What’s your take on this approach?
I am enjoying your videos VP. Thanks for making them. I have a question. In the pairs the big banks don't mess with, wouldn't support and resistance be valid? There isn't a big player manipulating the market?
That's why you backtest with a RR of 1:1 and try to have at least a WR of 67%-68%. This way you have a longterm profit of 68%*0.5 - 32%*1.0 = 2% (100 trades). This is just for fees and spread. The real gains then come from trending markets where you scale out.
A little surprised to see the aroon here. A favorite of mine. Its is profitable if used the right way. It is quick to react and if put a low setting like 3 or 5 you can get extreme early signals. Problem is there will be too many of them. I guess there are better inficators out there, but for now it does a good enough job for me.
Great video however trying to catch the 600 pips as retail traders is almost impossible. So much shit can happen within those 600 pips. Most retail traders should stick to small gains because of the volatility of the forex market.
I have been watching and reading everything from VP my trading is going from poor trader to getting better trader , I am now a day trader and since I have done this from VP advice I only trade at 940pm till 10pm and consistently make 600-800 pips daily
VP, it seems like a 1:2 ratio works better with the S&P500 using a 0.5ATR stop and a 1ATR tp, losses and initial profits cancel each other out. It works for me, what do you think?
I m still training myself but I would say that ratios may be used instead of an exit indicator at smaller time frames where indicators might be confusing! Did I get that right?
I do see a potential issue with this. You are essentially using a 1:1.5 RR. Yes, half position is left open, but that matters only if the initial target is reached. Should this not happen, you have lost 1.5 trying to gain 1. On this note, you need about a 60% winrate to be barely profitable. What am I missing?
You're missing a few big things. We're not "trying to gain 1", we want more, and we will definitely make more than that sometimes. And don't forget the Exit Indicator. Most of the time, your Stop Loss won't even get hit! Really does tilt the odds in the end.
hey i was watching your video and also trying to practice what you were trying to show us on how to minimize or negate my pip loss. what are the input numbers for that strategy?
Jean Annosier not completely sure what all you’re trying to ask but there aren’t specific numbers that negate pip loss. It all depends on what chart your trading and the stop loss you calculated for that pair. Go watch the risk video and I think that will clear things up. Cheers.
how does VP feel about pitchforks ? i’ve been charting with them a lot lately and boy do the markets respect the levels. not all the time but easily could make $ using them. i haven’t taken any of them live though.
I always thought of the ratios as entry requirements, not a Take Profit, although it could potentially be take profit. Since there are no "price levels" in this game, ratios don't matter.
@@NoNonsenseForex I meant support/resistance. If you see where price could go based on support/resistance, that creates the ratio, based on entry and stop loss. For example, I see that its $30 up to the next perceived resistance level, and $10 to support level from my entry. That's a 3:1 ratio based on levels. Thanks for your contribution to the trading community!
As a brandnew beginner in FOREX I never understood the other "Gurus" praying that it is so important to stop your win! Everybody is teaching those ratio-things… Stop-Loss is ok, but cutting my potential win never sounded logical to me. Using those 2:1 or 3:1 ratios is preventing everybody from really playing the game and win. I can see now that this is really b*sh*. Stop-Loss and Scaling out is great! Thanks, VP, for the truth about this.
No one makes it in forex as retail traders
You’re the best in the business bro
A good trend following system will allow you to profit on the trends while at the same time somehow mitigating losses on whipsaws. By using that rule of scaling out you are protecting your bottom line while at the same time allowing yourself to profit on trends. I really appreciate this information. Thank you.
May God bless you, and I know already has. I can't thank you enough for your amazing direction and actionable motivation. Anything I can do to help you back then let me know. Keep up the great work VP I am daily acting out these lessons and very thankful!
Agreed!
@@Duospace you having good results trading with an algo?
Discovered this Chanel a week ago, since then all my free time has gone in watching it and i don't have a lot of it. @ this point i feel like a water filter letting all the great tips thru and filtering the shit out. Have learned a lot more in this week than slowly figuring it out by myself for the last year. Thanks VP! Your a legend.
I’ve cancelled my Netflix subscription due to these videos lol
We're you able to get the aroon indicator?
how has your trading been since ?
VP, I am a new sub to your channel and want to say thank you. I have been trading on and off for 2 years with both live and practice accounts with some small successes and have been to some free introductory classes that have helped a little. However, just by watching 5 of your videos you have cleared up a bunch of the bad habits I have picked up on my own and the ones I was taught.
I will start trading live again after go through the rest of your channel.
Thanks!
Excellent. Its about eliminating the bad habits first.😉
Going over your videos again and again, drilling the principles in like life itself depends on it ;-)! I salute you sir, even in the far Belgium your student base is growing.
More Belgians is never a bad thing!
@@NoNonsenseForex,
Jean Cluade Van Damme would approve of this Message.
Yup. Going over your videos... over and over... relentlessly. Every time I come back, after watching or reading something else of yours, I pick up something that I missed before! You are changing my life, and my mind!
thanx for your time! the least I can do, is to like and comment on your videos! I have been trading for 15 years and from I start to follow you, I have increased in my wins with over 40%. So THANX!!!
I feel like you might be the "Richard Dennis" of this century VP, and we are your turtles. If you read this comment, thank you for teaching all this valuable stuff, it is really life-changing, you are a good person.
ME: yes? You: NOOO!!!!
Every videos you make is so logical and practical! I couldn't wait learning every single thing you are about to share on this amazing channel. You are truly an extra-ordinary Mentor! God bless you more Sir VP!
i think this is the most important video youve ever made.
This is pure gold.
This is what separate a breakeven trader from a 1%er.
You are unique.
Thank you
Hey VP, wanted to start this comment by saying I am a huge fan of your channel and have learned so much from your videos. I rarely ever comment but I have watched all of your videos and still get excited when new ones come out. I wanted to write this comment to tell you about an indicator I have had a lot of success with that you have mentioned in one of your videos talking about trends. The indicator is Super Trend, you used it as an example of a chart indicator, thanks to you I tested the indicator and found that on settings 10,1 the indicator has a lot of success. It does have some false entries but paired with the other pieces of the algorithm it works great. I am currently using it as my primary confirmation indicator. I just wanted to thank you and share one of my great findings with you, hopefully you can add it to your toolbox.
When I first found out about Forex I wanted to learn about it but I couldn't afford the classes. Your videos made me learn a lot and I dont think i'll nothing in those classes compare to what you've taught me.. my Win rate is getting pretty good and with my stop loss on point. I am becoming profitable. You doing this for free should be illegal lol Thanks bro
I am grateful for learning english out of games & articles, just so i can listen to contents like this one.
This is the type of stuff you don't find anywhere else or when you do they give a brief explanation. Recommended your channel to all of my fx friends
Just going through your videos from the beginning and I've got to this point. I've been trading for 25 years, I've won and lost but never was consistent. It's testimony to my love of charts and my burning desire to never give up. I've read Michael Covel's trend following book over and over again but never had a hard and fast rule based trend following system. For me, this video in itself is worth it's weight in gold and is a real game changer as far as I'm concerned. You should be right up there with the turtle traders, Bill Dunn and Ed Seykota and your value is more important because you are a teacher and a guru. Thank you for doing something that no one else is doing. Ash
Sometimes you need to know when to give up, if your going on 25 years and still haven't made decent profits than it's possible its not for you and don't waste another 20 years
25 years?? 💀⚰️ I'm finding profitability and consistency after 1 year and 4 months. So you've been unsuccessful at trading for longer than I've been alive.
VP I see your point regarding using Ratio in the trading. I also see that lots of traders misunderstood of how and what for Ratios should be used. Actually, Ratios is a confirmation indicator and the rule tells: "Do not trade if you have at least 2:1 or better P/L ratio." It does not say take/cap your profit at x2 times of SL.
WOW JUST WATCHING THIS VIDEO AND LEARNING ABOUT WHAT YOU SAY ABOUT BREAKING MY TRADE INTO 2 IS EXACTLY HOW I TRADE AND BOTH OF THEM WIN ALOT OF THE TIME. I KNEW I HAD A POWERFUL SETUP I CREATED I JUST DIDNT HAVE CONFIRMATION UNTIL I LEARNT ABOUT SENTIMENT. I CAN NOW USE MY TRADE SET UP TO PLACE ACCURATE DISCAPLINED TRADES ALL THANKS TO YOU. I SO UNDERSTAND THE WAY YOU EXPLAIN THINGS ITS SO SIMPLE BUT FOR YEARS I STRUGGLED DOING THE THINGS I SHOULD NOT HAVE. I NOW ONLY USE A HIGHER THAN USUAL MOVING AVERAGE CROSS ON A SUPRISING LOWER TIMEFRAME AND ALONG WITH DAILYFX I CAN NOW PINPOINT MY TRADES. I WILL DEFINITELY GIVE CREDIT TO NO NONSENSE FOREX WHEN I SHARE WHAT I HAVE LEARNT. ABOUT BLOODY TIME IS ALL I CAN SAY LOL. I HAVE WANTED THIS FOR LIKE ALOT OF FAILING TRADERS THAT NEVER GIVE UP YEEEEEEAAAAAAARRRRRRSSSSS LOL
You are helping multitudes with your frankness and no nonsense approach to your presentations. Thanks bro.
Have any life coaching videos? 😂 The shit you say always makes so much sense. Thanks VP you're a legend man. 😎
Ok VP i m new made some mistakes. But now i m watching every video again second time. Made 8 trades in 2 days and are still running at the moment and 6 off them are profit already... man thank you! Best regards
This is now my favorite forex channel on youtube.
It's probably the first time i comment on youtube but men you made do it i've been watching your videos for 3 Days from the first video and writing notes and Never skip one video and all i can say that you're a LEGEND thank you and i really appreciate your work ❤
I am disappointed i did not find you sooner! I recently found you on the Apples Podcasts earlier this week, currently on episode 19 and I am now going through youtube to. Listening to the podcasts when travelling, cooking etc. Watching the videos in the afternoon. Thank you for sharing VP, you are very good at explaining things. Thank you :D
The most realistic Forex guy on TH-cam..:) lol
I want to say that this video and the scaling out video have turned my trading around to consistent profit.
Amazing!
YES! This playlist alone can change things completely. Glad it helped.
I LOVE THIS MENTALITY !!!!!!! i nearly paid for a course!!!! amazing 2.5 years on !!!!! GOLD
VP you are the best ... If I knew this when I started trading my trades would be totally different.... I am still watching and consuming all the content and applying them and I can not imagen the improvement I am in so far .... Thank you thank you million thank you
Once again man thank you. This should seriously be one of if not your top video. This with proper risk management seems like a sure thing just by itself.....not that I'm about to just flip a coin but still this is powerful stuff.
i risk between 25 and 40 pips (calculated with a piece of my algo) with a 100 pip TP so i guess thats 4:1/2.5:1 . when the trades hit 50 pips i move SL to entry and let it run. actually works phenomenally well in conjunction to trend
The problem with risk to reward ratio mainly is it forces you to put a stop loss at certain places and guess what, the bankers know the most common risk to reward ratios meaning they know where the stop losses are and they will drive that sucker right towards them all day long.
If you realize you won those trades when the AROON hit 100% not when it first cross over you are not using it right plus change the settings to 3 or 7 for faster entry
I have never taken so many notes for YT videos. Thanks for the awesome content.
I've been doing 1.5 ATR Stoploss, 1ATR half profit, let the other half run. I stop if it crosses below baseline. HOWEVER. Sometimes a F YOU candle just comes down to my stop loss making me lose a ful 1%, which is a big big loss compared to the half-wins I get. Any solutions?
I read most of the comments before I thought I'd throw in my $.02. I'll admit, I didn't think a video on ratios would elicit such a degree of polarization with regard to some of the opinions scribed herein. There were some who seemed genuinely offended that the very notion of questioning the "ALMIGHTY 2:1 RISK TO GODDAM REWARD RATIO" was sacrilegious and those who oppose it should be banished.
I wonder if the point was missed...I apologize for this tome, but it's doesn't cost anything to try and help those who might need a little nudge in the right direction.
1) Trading any ratio is an all or nothing venture. It's basically binary - it either comes to fruition, or it stops out. Amen, period, and end of story. Most retail traders do not place multiple trades from the same price. It's not what we were taught, nor was it ever advocated by those who "teach". If you do, then you my friend, are an anomaly and Godspeed in your trading.
2) I have in fact, heard those discuss scaling out to some degree but many do not actually possess the discipline to take a preset portion of their trade off. That's greed a-knock'in - one of the two demons that will stymie your best efforts. Hence - place two (2) trades. Easier to take one off, mentally and emotionally.
3) If you trade an algorithm with a decent exit indicator, more often than not, it will signal you to exit a trade before you hit your stop. It's not personal. The market is not screwing with you. Take the trade off and look for the next one. Business as usual...
4) Why, why, why would you want to stop a trade in profit with a fixed (and arbitrary) point of profit? Lookit - I'm not trying to piss anybody off but seriously - think about it. "Hmmmm...the trend is strong with this pair, but I'm at my rinky dinky R/R ratio (which was probably based on a small stop from a support/resistance/trend/fib/pivot/imaginary line) so I'd better take my rinky dinky profit. After all, nobody went broke taking money off the table, right??" Hells bells...I'd rather be smart about it and *A* Use an exit indicator to get out. *B* Initiate a trailing stop at some point after moving your stop initially to break even with a number that works well for you (I've played around with some real killer indicators that calculate a trailing stop based on ATR. Fucking awesome runs, in my humble opinion). *C* Watch volume for signs that the trend may be entering a consolidation phase or a counter trend reversal and tighten your stop in case price decides to back over itself. Protect yourself, and your position.
If you are from the R/R ratio camp and it works for you - carry on as usual but I'd imagine you're intelligent enough (since you're here listening to these podcasts) to admit that this concept has exceptional merit. Try it on a trade (demo account please) and see how it does. Peace, out.
Taking God's name in vain just made me stop listening to you altogether. To many your profanity toward the God that created you is offensive. Stop it!
@@JLH1956 You missed out on some good information.
Nnfx and (l)earn instead of Netflix and chill for me 🙋♂️ using my time right this lockdown
Thanks for all the info given to us...how psychologically are you prepared to see a pullback to breakeven or even a loss after being 100+ pips in profit.. ?? maybe SL is moved to breakeven and it's not a loss.....but... what about the time invested in that trade?.. maybe 2 weeks if we trade the daily chart? Is it wise to return profit to the market?? Man How do you deal with that??
Gotta think long term. Emotions have no place.
I backtested the aroon and was giving me 50-60% win ratio. I produced a bar chart and my losses were small but the wins were big
Can i know how you got the aroon indicator?
VP you are a genius! Man love your videos and honestly I cannot thank you enough for all your advise, videos and podcast. I am fresh new to this but am I glad I have found your channel. Things are so confusing out there but you make it sound so easy. God bless, I will never forgot you for the great work you are doing. All the best.
Best advice from this video, “ never cap your profit”. The way I take it, “ SL in profit, let the compound effect take over”
Sounds reasonable...
"Dumb dumb jabroni traders" Lmaooo!!
Interesting, my main question after watching this is... Why scale out when you can set a trailing stop loss? Seems like that would allow a good way to exit without worrying about losing profits. Maybe I'm thinking of it incorrectly.
Trailing stops don't come into play until your up a lot more. Secure wins where you can, then worry about those later.
Thank you.
Ratios using most of the dirty dozen tools have battered my trades and my trading psychology way too much. Not any more. Thank you, Patrick.
Holy shit this video right here is going to change my LIFE! Thank you infinitely VP!
Going through all these playlists and videos making sure to leave a like! Thank you Vp - I will make it!
Your videoes are like a piece of gem.
This video has solidified something that I've thought for a very long time, and have been kicked off of webinars , and out of "Trading groups" for. That ratios make no sense, and the majority of people that use them are hope traders. Wanna revenge trade? Use ratios.
Welcome home.
@@NoNonsenseForex Thanks, words can't articulate how good it is to be here, and on this journey.
Glad I sticked with the nugget. Just started trading again after blowing my first account. Thannks VP!
How did it go so far?
This is the best channel about Forex!!
Your video about crypto point to your management playlist as well but how the HECK can we follow it if there is no calculable pip value for BTC...? Got wrecked last year and really would like to get back in the game without the same mistake... heeeelp..... x)
Let's just say I will be sticking around for more gems like this. You rock, VP.
JUST A QUICK QUESTION WHAT IS THE INDICATOR YOU HAVE AT THE BOTTOM THAT LOOKS GREAT ON A DAILY CHART :) GOT IT aroon up and down indicator "NOT BAD JUST HAVE LOADED IT TO CHART BUT NOT SURE IT WOULD HELP ME BUT IM SURE IT WORKS WITH YOUR SET UP FOR SURE CHUR :)
taking profit and moving sl to break even is like, entering the lotterty with profit, thank u vp
OH MY GOODNESS 🤣🤣 this video almost took me out... I was trying to cook and doing just fine until you mentioned the one piece of broccoli eaters 🤣🤣🤣🤣🤣 this was hilarious but yet it makes so much sense! 👍🏼👍🏼👍🏼👏🏼👏🏼👏🏼👏🏼
your way of telling all this things is so refreshing. :) So bad, that I found this channel so late. But I already took the lessions on your site and made a new setup with your advises BESIDE my trading. Just for curiosity.... I will inform you about my experience.
Michael Krischek This feedback was 6 months ago I need to know the results if you don't mind.
I have a lot to catch up ... I learned things and applying it in my trade.
One thing not talked about is using ratios as a filter... that is to use it to filter out trades that have little chance of achieving the RR Ratio.
God bless you bro. That is all I can say. I'm always so impressed.
Please do you know the name of the indicator VP USED as exmple I hv been looking for it please if u do help A friend
Thanks VP FOR YOUR CARE WE APPRECIATE
Cheeskey Fx i think it’s Arron, but it sucks
The Aroon Indicator (often referred to as Aroon Up Down). You have to tweak the setting until the cross matches the entry or exit point in the trend. It is set to 14 by default. That setting sucked. But I played with it until it matched the beginning and end of trends. Boom.
RT Mason what setting worked best for you ?
Love this channel ❤ this is my no 1 preference to watch. Can not thank you enough!
What is your opinion on the Trend Magic indicator?
I was waiting for some golden nuggets while on my grind on all of your video. I will become one of your REAAAL killers :D
hey VP! you should consider making a Telegram or some kind of community chat where the community could talk to each other. I think it will thin the number of basic, and repetitive questions for newcomers. It's great for people discussing ideas and helping each other especially newbies.
There are a few out there, I just don't know the links
What is the difference between Scaling Out and Scaling In ? Thanks
Love you bro, putting in the work🙏
Amazing I can't wait to try what I have learned from you so far and look forward to seeing what else you have in store 👍❤
Where is that indicator on the metatrader 4 app?
forex are not quick journey... its long run journey. So, Risk and Reward ratio will help you. That was true.
Thanks VP. Great video and even better ....the lessons within!
I feel like the aroon is apart of your algorithm. Ima keep it in mind. Beautiful video!
It’s in mine
How is the Aroon going? VP says "I don't even recommend this one; it's just a basic indicator." So I'm not clear how he feels about it.
hi VP, thanks a billion for your generosity.... i found you before i paid for a professional course, and man i can tell you the great differences of your trading style (algo) with the rest that i've learned.... Can't thank you enough like others do..... now i have found my confirmation indi and baseline, still testing and searching for the right volume and exit indi.... working hard hehe....
one reason to cap up side is when you do not have the time to watch your charts all the time and do not have the time to set your stop loss at breakeven.
I was doing 1.25 to 1 in my back testing. And after testing my strategy thousands of times, one thing I noticed is how much of the actual trend I was missing each time. So I knew there had to be a better way. I was profitable. However I knew I was leaving so much on the table. Still waiting for the video in series ( hopefully) when in the day do I start trading. I'm sure its there somewhere.
At some point I'm wondering if VP's method will become so popular that Big Banks will develop counter measures.
As he encourages us to make our own trading system, it wil be very difficult for the big banks. He does not give the system itself; only the structure.
Thank you, man I want to leave a comment on every video and once im through my last one youll see all the changes ive made progressively through each video.
Dear, thanks for ur different approach of analysis which synchronize my mind. All the indicators are lagging for analysis and want to be avoided. I am new but watched all ur podcasts, sometimes complicated, inspiring, eye opening and sometimes very indirect . Could you be specific about leading indicators(if any).
so remove take profit, change stop loss to trailing at break even
I am falling in love with your content!
I really do have a question. For someone with less than $5,000 to invest, how would you recommend we enter the market? I am looking at studying some traders and copying their strategy rather than investing myself and losing money emotionally. What’s your take on this approach?
Save your money and demo trade all that
I am enjoying your videos VP. Thanks for making them. I have a question. In the pairs the big banks don't mess with, wouldn't support and resistance be valid? There isn't a big player manipulating the market?
No. Those pairs are just derivatives of those currencies against the USD. S&R is useless pretty much everywhere. Did a video on it.
That's why you backtest with a RR of 1:1 and try to have at least a WR of 67%-68%.
This way you have a longterm profit of 68%*0.5 - 32%*1.0 = 2% (100 trades). This is just for fees and spread.
The real gains then come from trending markets where you scale out.
Hey ! Thks for the good work. But how do you set the partial TP level if not with ratio ? Even if 1 or 2 ATR ?
Watch the Scaling Out video th-cam.com/video/tJBmVhefMeE/w-d-xo.html
He is not saying you can't use a ratio to set a partial TP. He is saying don't use a dirty dozen ratio, and don't cap your profits with a ratio.
Loving all the videos so far! Already recommended this channel to my FX trader friends :D
Fuck yeah!!! I'm looking at this from a new perspective. Thank you for being so thorough.
What you just shared is life changing! Thanks ;)
A little surprised to see the aroon here. A favorite of mine. Its is profitable if used the right way. It is quick to react and if put a low setting like 3 or 5 you can get extreme early signals. Problem is there will be too many of them. I guess there are better inficators out there, but for now it does a good enough job for me.
Brilliant insight, Thanks vp from Ireland
Great video however trying to catch the 600 pips as retail traders is almost impossible. So much shit can happen within those 600 pips. Most retail traders should stick to small gains because of the volatility of the forex market.
John Reese , with all respect it maybe be impossible for your mind but not in real life.
@@incatraderfx In real life, most retail traders dont have an account big enough to handle 600 pips brother!!
John I'm a day trader so I get my 600 pips but over a period of time in smaller gains.😉
I have been watching and reading everything from VP my trading is going from poor trader to getting better trader , I am now a day trader and since I have done this from VP advice I only trade at 940pm till 10pm and consistently make 600-800 pips daily
Darran Evans haha. 600-800 pips a day? That makes you the best trader that ever lived. Congrats
VP, it seems like a 1:2 ratio works better with the S&P500 using a 0.5ATR stop and a 1ATR tp, losses and initial profits cancel each other out. It works for me, what do you think?
Easy to say now. I just keep it consistent. Don't change things just because.
@@NoNonsenseForex fair enough, but I've backtested it through 2019 and the winrate is 61% for my signals.
I m still training myself but I would say that ratios may be used instead of an exit indicator at smaller time frames where indicators might be confusing! Did I get that right?
No. Capping your upside is capping your upside. Never recommended here.
I do see a potential issue with this. You are essentially using a 1:1.5 RR. Yes, half position is left open, but that matters only if the initial target is reached. Should this not happen, you have lost 1.5 trying to gain 1. On this note, you need about a 60% winrate to be barely profitable.
What am I missing?
You're missing a few big things. We're not "trying to gain 1", we want more, and we will definitely make more than that sometimes. And don't forget the Exit Indicator. Most of the time, your Stop Loss won't even get hit! Really does tilt the odds in the end.
@Reginald Holt You can be profitable with a winrate below 50% as long as you have solid money management and do not cap your upside.
hey i was watching your video and also trying to practice what you were trying to show us on how to minimize or negate my pip loss. what are the input numbers for that strategy?
Jean Annosier not completely sure what all you’re trying to ask but there aren’t specific numbers that negate pip loss. It all depends on what chart your trading and the stop loss you calculated for that pair. Go watch the risk video and I think that will clear things up. Cheers.
why 80 PIP as TP target on the GBPCHF?
Thank you VP, for fantastic knowledge you share, you are a great teacher and a life saver.,,♥️🇱🇰
Hi Vp, when will you be releasing how and when to take profit video ?
how does VP feel about pitchforks ? i’ve been charting with them a lot lately and boy do the markets respect the levels. not all the time but easily could make $ using them. i haven’t taken any of them live though.
you probably have watched his video on trendlines. he thinks theyre voodoo
I always thought of the ratios as entry requirements, not a Take Profit, although it could potentially be take profit. Since there are no "price levels" in this game, ratios don't matter.
Levels have nothing to do with ratios.
@@NoNonsenseForex I meant support/resistance. If you see where price could go based on support/resistance, that creates the ratio, based on entry and stop loss. For example, I see that its $30 up to the next perceived resistance level, and $10 to support level from my entry. That's a 3:1 ratio based on levels. Thanks for your contribution to the trading community!