Scalper Daily Target

[Nick1984]

I don't think scalping FX is the way to go personally. I'd rather daytrade or swing trade FX markets cause some of the spreads those bucket shops charge are ridiculous where you end up trading more against the house than the market itself!

Walter, if you have a system which is netting you 50-60 a day per contract x 30-50 contracts on the YM why don't you just transport that over to the ES and up your stakes to 100+ contracts with the same profit targets? That can make your millions. Aiming for 1 ES point per day after commissions with 100 lots down is 25k per week aggregating to an average of 1.3 million a year.

It would be a much easier transition from YM to ES than from YM to spot FX, but then again I'm not you hehe.

Edit: I'm an idiot, didn't read the last bit of your OP Walter, you already said that! Sowwi.

[walterw]

	Quote:	Nick1984
	I don't think scalping FX is the way to go personally. I'd rather daytrade or swing trade FX markets cause some of the spreads those bucket shops charge are ridiculous where you end up trading more against the house than the market itself! Walter, if you have a system which is netting you 50-60 a day per contract x 30-50 contracts on the YM why don't you just transport that over to the ES and up your stakes to 100+ contracts with the same profit targets? That can make your millions. Aiming for 1 ES point per day after commissions with 100 lots down is 25k per week aggregating to an average of 1.3 million a year. It would be a much easier transition from YM to ES than from YM to spot FX, but then again I'm not you hehe. Edit: I'm an idiot, didn't read the last bit of your OP Walter, you already said that! Sowwi.

thanks Nick for inputs, it certainly is an interesting topic where to expand horizons as a trader... ES was an alternative for me and has been considered some time ago... what happened is that technically speaking it is a hard instrument for myself to trade... It has been very dificult to take all my methods been used (originally in Russell, now on Ym) to ES... so in the need of fresh air... forex has been a very interesting aproach for me and it has a great challenge in terms of really using new technicall methods completely diferent to what I am doing now on futures... I believe that I could not say I am going to scalp forex, that probably would be misleading...
In terms of making amounts of moneys, I do have greater expectations than 1.3 M year on forex... I think much more can be done with not that much stress futures market demand... so we will see... maybe you want to join the Tokyo team.. cheers Walter.

[james_gsx]

Walter this is a little off topic, but do you use a tick chart for scalping or a 1 minute, 3 minute, etc chart?

[walterw]

	Quote:	james_gsx
	Walter this is a little off topic, but do you use a tick chart for scalping or a 1 minute, 3 minute, etc chart?

James you would like to check on the technical trading forums this threads : flip, false break, lazy and ABC trades all from Walterw, there is a lot of information of how I trade there... and yes I normally use Tick charts... cheers Walter.

[Nick1984]

Yea Walter, I wouldn't mind jumping on the Tokyo bandwagon cause it'll be healtheir for me in the long run as no late nights!

[ztrader]

I just want to drop by and say hello to you, walterw and the rest of TL members. After reading your thread here, I now have a better understanding on how I can better use my new scalping approach on the eminis. Although, I usually go for the run with what I called scalp n trend technique which Alex and I often us in forex daytrading, using m5 charting. Unfortunately, having left Tradestation, I do not have the luxury yet of the tick chart. However, I am in process of converting my MT4 system indicators to Ninja Trader platform. BTW, I find it more convenient now to swing trade forex and daytrade eminis.


I maybe nearby Tokyo when you visit, so you may want to do a side trip to my Asian paradise.
ENJOY!

Z

[walterw]

	Quote:	ztrader
	I just want to drop by and say hello to you, walterw and the rest of TL members. After reading your thread here, I now have a better understanding on how I can better use my new scalping approach on the eminis. Although, I usually go for the run with what I called scalp n trend technique which Alex and I often us in forex daytrading, using m5 charting. Unfortunately, having left Tradestation, I do not have the luxury yet of the tick chart. However, I am in process of converting my MT4 system indicators to Ninja Trader platform. BTW, I find it more convenient now to swing trade forex and daytrade eminis. I maybe nearby Tokyo when you visit, so you may want to do a side trip to my Asian paradise. ENJOY! Z

NIce ZTrader ¡¡ Then we will meet some time in the future... about forex, I am working together with Don on some very short term aproach, we still are beta testing several alternatives and also using MT4 wich I consider a very nice platform... (lots of good indicators)... so feel free to interact with us as we evolve here... nice to hear from you and welcome aboard TL... cheers Walter.

[SorryForMyEnglish]

Thank you again Walter for this interesting thread and for sharing your scalping approach.
I like your talk and at the end your idea of "lifestyle".
Ithink I perfectliy understand the aim and I already know that being able to reach this scalping daily goal would make me happy ..

.... BUT.... I'm asking oneself whether if it's so easy to succeed as it seems ? (am not speaking about scalping technics that are supposed to be mastered BUT about the "scalper daily target" approach)

Mainly 3 points seem difficult for me :

1 / stopping today scalping (target reached) while the market has a great volatility offering (today..not like yesterday or tomorrow...) good opportunuities...

2/ stopping today scalping (target reached) , not considering/forgetting that, for example, my last 2 scalping days were loosing and so knowing in advance that my "monthly lifestyle target" will not be reached.. (In fact, if I understand, each time we have one and only loosing day our monthly target cannot be reached)

3/ "such low expectations makes you much more selective...only take the best setup" : I like this approach again but it seems difficult to me to implement... why ?
I understand (studying your VMAR threads) that you mix "big money" trades and scalping ("conservation of capital" + fun ...which I appreciate also )
so my question is :
- When and How to choose/decide between a Trade or a Scalp ?
(taking into consideration that a scalp needs to close the whole position in one time vs partial profits for Trades AND that "best setups" are by definition (and back-testing...) reserved for Trades ...)

BTW, you propose a crystal clear daily (profit) target to stop scalping...but you don't speak about a loosing limit that would stop scalping for the day too.
(sorry to speak about that but having not your expertise I know that I can also loose 3 "lifestyle months target" in only one scalping day ... LOL )

Many thanks in advance if you have time to discuss and advise.
Yours, Serge

[walterw]

Ok Sorry I will try to respond here to this issues

>>>1 / stopping today scalping (target reached) while the market has a great volatility offering (today..not like yesterday or tomorrow...) good opportunuities... >>>>

greed control is a good discipline... your bussiness shouldnt be based on all what the market "supposedly" would give you... but should be based on a clear target...

>>>>2/ stopping today scalping (target reached) , not considering/forgetting that, for example, my last 2 scalping days were loosing and so knowing in advance that my "monthly lifestyle target" will not be reached.. (In fact, if I understand, each time we have one and only loosing day our monthly target cannot be reached)>>>>

Dont focus on the monthly target... focus on today... and you should be ok.. you will see how less amount of negative days you will have as you get experience... still there is no edge on giving more pressure today because yesterday I didnt get the target... just relax and enjoy.. no pressures, just good basic targets to make in a relaxed fashion...

>>>>3/ "such low expectations makes you much more selective...only take the best setup" : I like this approach again but it seems difficult to me to implement... why ?
I understand (studying your VMAR threads) that you mix "big money" trades and scalping ("conservation of capital" + fun ...which I appreciate also )
so my question is :
- When and How to choose/decide between a Trade or a Scalp ?
(taking into consideration that a scalp needs to close the whole position in one time vs partial profits for Trades AND that "best setups" are by definition (and back-testing...) reserved for Trades ...)>>>

Trading and Scalping on my case use diferent moneys... separate bussiness...
they are not related and they work paralel on their trading...
Being selective means, being disciplined to take your setups that are very well formed and not the ones that are forced to look like... its about not overtrading, people with high targets DO overtrade and finally do less money..



>>>BTW, you propose a crystal clear daily (profit) target to stop scalping...but you don't speak about a loosing limit that would stop scalping for the day too.
(sorry to speak about that but having not your expertise I know that I can also loose 3 "lifestyle months target" in only one scalping day ... LOL )>>>

If you loose so much, something is wrong with your method, stop trading, revisit your technique, go paper trade till it works... normally any loosings should not exceed two or three consecutives losses... otherwise I should revisit method... so for me at least on my aproach great drawdowns = wrong method... if the method is ok, you should only experience normal stops that get recovered on the next trade by far...


Hope this helps Serge... cheers Walter.

[SorryForMyEnglish]

Thank you very much Walter. Have a nice sunday in Argentina !