daedalus

Subscribed to see how this turns out on here.

Thanks for the quick reply brownsfan! Thats exactly what I wanted to know. I'm not really looking to take on a huge list of clients, or really even expand beyond these 5 right now. It looks like then I would be focusing on straight 25% with no fees... if i'm not making them money, i shouldn't be charging them anything! Thanks again!

I've been approached by 5 people over the past month to take on capital from them and trade it in line with my account in a managed account fashion mainly in the FX markets. Its a great opportunity for me because it would allow me access to capital I don't have in my personal accounts, and thus the opportunity to supercharge my own account growth along with my clients. And while thats all well and good but I don't quite know what I should be charging these people in terms of management fees, profit sharing, etc... Does anyone manage money in here or have experience paying others to do so? I've heard of people charging either high mgmt fees, and 25% profit sharing, and others skipping the mgmt fees all together and just charging upwards of 60% of profits... For example, my mentor uses this for his managed money structure: I'm leaning towards no fees, and just a straight % based profit factor. Anyone got any info or experience to share? Thanks for your help! I didn't know where to stick this thread... didn't really seem to fit anywhere on the forums, so if it should be moved elsewhere sorry in advance!

Just keep in mind the context of what you are trading right now Jon. There is nothing resembling trading in markets like these. There is only gambling. The markets right now aren't acting based off rationality or consistency. Much of what we are seeing is nothing more than computer wars... trading programs executing against each other slamming the markets violently around. Not to mention the increased volatility is going to take your stops that were good 2 months ago and annihilate you with them now.

I know it can be done... i've been trying to do it after seeing almost the exact idea coded into an .eld from the folks at eotpro... Seemed like a hugely impressive piece of information once you weeded out the small and medium sized traders and just stuck with the direction of the big fish. I just don't know how to code it... and as of yet have been unable to find someone who could. Cheers!

Pssh... i remember trading a 4pt range in the ES during easter back in '07 I think... that was horrendous! I agree with you! I like the increased moves I just wish it would calm down just a bit. Something akin to the movement we were seeing in May would be a nice happy medium in my book.

The 9 "Majors" are technically the: EURCHF EURGBP EURUSD EURJPY GBPUSD AUDUSD USDCAD USDCHF USDJPY And the "10th" that is being traded more heavily and gaining in popularity all over seems to be the GBPJPY. Roughly 5 pip spreads but HUGE movement and compared to the other spreads right now in the spot market with recent volatility its actually a bargain of a pair. A lot of $$ movement for a 5 pip spread.

The pros use the spot FX markets due to the liquidity... You can't chuck a 100 car order at the EC in the CME... you can chuck 10x's that in the spot market and not be felt too much.

I walked away. If its outlier price action then I don't have an edge. I make my living on the rule, not the exception to it. I just focused on spot FX the past two weeks with reduced size and did pretty well. In the futures market as far as i'm concerned there weren't trades, just gambles. And the stop placement I would have to use on my method with the increased volatility is 2-3x's bigger than normal so I said no thank you. What about you guys? Did you all play in the sandbox?

why not sell at the 61.8 green line on tuesday, oct 7th around the 99.00 mark... I think thats more inline with what that tool is supposed to be used as.

This just isn't the week for 4HR patterns. I trade the 5min and 60min primarily and today the 5min yeilded over 300 pips off of eight different pairs and 7 trades... but that kind of movement is NUTS on a small timeframe like that. The volatility right now is amazing. However it doesn't translate into a smooth picture on the 4hr chart. Give it a week and I think we might see a push towards normalized behavior again.

thats perfect cowpip! Many thanks! Just out of curiousity... what are you guys using to determine prior s/r lines? Anything in particular or just areas of congestion, prior highs/lows?

Wasp... I really like what you're doing in this thread and the entries you're using... Very simple, yet powerful stuff. Is there any post in this thread that really outlines any rules you have for drawing trendlines, etc? I've search all of your other threads on here and read your blog but haven't found anything that really outlines it. (I have yet to read all 60 pages of this thread however). Have you even done that, and if so would you be so kind o reference me to it? Thanks a million regardless and I wish you guy the best of luck!

Crazy morning... Got short in the USDCHF... went +30 in favor took me out for par + a couple pips of profit then went 30 pips against me all inside 1 candle... Def. outlier price action today. I think i'm on the sidelines for now. Most likely thing to happen now is to see consolidation so that means nil opportunities for myself. Hope you guys got in on some of the tasty moves this morning. I know I didn't. Thought i was going to on the CHF trade but it ended up making the move against me (in the trend of the 4HR go figure). Cheers!

Dahhhh... frustrating day. I need to get a 3rd party trade management platform like Ninja for my EFX/MBT feed. Twice in two days I have tried to move stops down to lock in profits (but not exit trades) and yesterday I screwed up an order entry and it exited a trade that cost me 20 pips of profits, and today a AUDUSD short that cost me... wait for it... 71 pips! I felt sick! Don't get me wrong, I love my broker, but their software is archaic and in desperate need of a 3rd party platform to make managing stops sooo much easier.

Guys I continue to be amazed by this thing. 61.8/78.6% retracements and double bottoms/tops coincided with this tool are incredibly powerful. Check out the moves from today. Now its up to you on management but I think it would be hard pressed not to be able to walk away with profit after today... Trade 1... 61.8 retracement short. Trade 2 & 3, Double Bottom Long, reversed into a 61.8 retrace short. Third trade, playing out in the ES as we speak as I type this. Double Bottom Long. Hope this gives you some ideas on how to utilize this indicator!

Thanks BluRay - this is a very interesting idea. I like what you guys are coming up with! I just modified it a bit so I could have different colors, but used in conjunction with S/R and fib's it could be very powerful! Check out these two examples from the past couple days... 1 a simple 61.8 retracement... but how do you know if it will hold there? Volume Spike shows a buy and it works! A double bottom in the ES, tests, and the volume spike says buy! Another 61.8 retracement from yesterday... And the last example from a couple days ago... sell signal on 62% fill of the gap, and a 78.6% retracement that gave a buy... both worked! I think we just may be onto something here folks! Cheers!

^^^ Got caught in that as well... bastard! lol.

Very good points made. I think one of the biggest/hardest things for traders to master is the management and exit part of trading. There are 1 million different methods for entering a market but who wins and loses in the long run is determined by how they execute trades, manage them, and optimized the efficiency of the exits. As stated before, any system, no matter how rudimentary and basic can be successful as long as the person trading it can achieve that efficient management and exit. I think as traders our personalities are set up to try and make a "no-lose" system or try and continually search for better entries, exits, etc, when in fact if we would all just get a simple method and execute on it without changing the status quo week after week we would be profitable!

The truth is the pinbar setups occur in his last post using trendlines to identify long signals in post #81... but heaven forbid I would link to a different source that could be cross applied to whats already being discussed!

I thought this thread title was Ideas for Stuggling Traders? Or did I mis-read that? Where did it say STEVE's ideas for struggling traders only? 100 lots is small in the real world? If so, i'd be perfectly happy trading for 1k a pip and being "piss all in the real world". Yea i trade 1 lot in the NQ... and what does that have to do with the price of tea in china? The thread was about ideas for struggling traders, I posted up a resource that has LOTS of good ideas in it based on PRICE action, not indicators. The setups they look at simply use indicators as a way to focus in on price setups... but whether its a BB or pivots, or fib retracements, its focused on PRICE action setups, NOT indicators.

Heres a thread I was referred to by a trader friend of mine who trades HUGE size in FX (100 Lots)... http://www.forexfactory.com/showthread.php?t=2331 There is SO much good info in this thread its rediculous. Lots of charts, graphs, explaining entry's and exits. A lot of it based on pure price action, not indicator nonesense. I've attached one of the screenshots from my trader buddy... He just trades pinbars into bollinger bands... and makes 8 figures a year. lol. It really IS that simple folks. This method meshes together so well with what/how I currently trade i've decided to just start trading this live next week. I'll let you guys know how it goes. Cheers!

Doesn't it already do that if you click on each individual bar? It will tell you Up Vol and Down Vol...?

This is a great thread guys. Its much appreciated! Please keep it coming. I've been lurking in this thread for a couple weeks and even though I don't post I just want you to know the content is appreciated! Guys have any tips on initial stop placements? Management?

I don't personally trade with it no. Sorry!