Example Trade & Analysis
We had a trader approach us asking for a demonstration of using the Advanced Calculator to figure how he could place a trade in which he scaled in several times, while also periodically pulling out part (but not all) of his position as the trade developed.
I want to figure out how I can keep my stop as far away as possible, so I don’t get prematurely stopped out of a good trade, while all the time making sure I don’t lose more than 2% for the day, which is my maximum risk profile.
The following movie demonstrates how to use the Scale In tab of the Advanced Calculator to figure this out.
If this particular example is more elaborate a setup than your normal trade style watch for the general principals of how to use this kind of approach to your advantage in your own trading.
Movie Demonstrating The Trade
Logging This Trade
This particular trade is a great example to see the power of the Allocation Breakdown tab of the Forex Smart Tools Trade Log.
You conceived and executed this trade as ONE trade, that you MANAGED in several parts with individual entires and exits, but your broker’s statement will never show it to you like that. It just shows you 5 individual trades that have nothing to do with each other.
The Forex Smart Tools Trade Log will let you record that trade as though it really is one trade, by using the Allocation Breakdown feature, which you can use either as you import an MT4 report or you can enter manually from any other broker you use.
This movie demonstrates this feature of the Trade Log in detail: