4/9: K7 Trade Management Discussion aka “cut winners quickly and let losers run”

This leads from some of the questions I raised the other day.

Trade Management Ideas

Last night I had a great time smoking a cigar with a good buddy of time.  Time flew by as we caught up on what we had been doing the last couple of months.  Then the conversation turned to the need to reconcile the theory of Quantum Physics with the theory of relativity.  At that point I thought: “Gee in comparison to brain-breaking problems like that, figuring out how to best my positions should be a rather easy challenge.”

With that in mind….

Pre-requisite

What do I mean when a valid setup “works”?

=> What variables am I taking into account to make that classification?

=> Understanding this, what implications does this have on my trade management approach?

Amendment to Sep4 Blog Post

Amendment to Sep4 Blog Post ii

Trade Mgmt Diagram

And for good measure, here are some examples of some recent trades where my trade management produced some real unfortunate results…..

Examples of Bad Trade Managament 2 

Examples of Bad Trade Managament 1

This entry was posted in Trade Management, Trend-Following Strategy. Bookmark the permalink.

One Response to 4/9: K7 Trade Management Discussion aka “cut winners quickly and let losers run”

  1. Paula Hamilton
    Thanks for sharing trade Management,I like it.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s