OK. Everyone and anyone with an account, some money and an opinion or entry signal can take on a position. The trading and the profitable trading comes from properly exiting the trades.
Personally, I like to use percentage of move based stops and TPs instead of static hard point based stops or TPs. The percentage of move would be static but the actual price range of the SL or TP ranges based on the price of the underlying asset. For example, instead of say 60 pips SL or TP, I might use 0.009 of bid price as a SL or TP.
Or, I may use break of recent HH or LL as an exit signal.
I also use time based exits, for example if price has moved x% and time is TimeCurrent is less than Open Time plus timeX then exit.
I also go flat on Friday evenings and try to be flat each evening to avoid carry charges and morning surprises.
OK. There you have at least 3 of my current favorite exit signals. What are yours?
For the sake of the thread please avoid news and central bank comments or fundamental exit signals.
Interested in hearing about technical, testable signals, ideas that can be tested for consistency and effectiveness.
OK, so here's a short list so far just based on this short first post. My favorites in bold. The reason I like them is because they can be applied in any algorithm and tested for consistency instead of randomly.
1. Hard point or pip based SLs and TPs.
2. Opposing MA cross. Either price crosses an MA or 2 or more MAs cross.
3. Stochastic or RSI over under 20/80 or 30/70 etc. (Or, insert any other useful indicator here).
4. Exit on Percentage of opening price based SLs and TPs.
5. Exit on Break of recent HH or LL.
6. Time based exits. If market moves X amount in X amount of time.
7. Exit on Friday evening.
8. Exit before close of each day.
9. Exit based on pre determined Risk Reward ratio, for example 1:1.5 or 1:2 etc.
10. Exit based on pre determined price area levels such as pivot points, Fibonacci, Gann or Gartley or other S/R levels.
11. Engulfing candle patterns. Reversal star candle patterns (for candlestick traders).
12. Exit on Inside bar or other interesting bar patterns.
Of course any of these can also be used for entry sigs as well, but only EXIT signals that you personally use and that you think are effective and absolute is what this thread is about.
Personally, I like to use percentage of move based stops and TPs instead of static hard point based stops or TPs. The percentage of move would be static but the actual price range of the SL or TP ranges based on the price of the underlying asset. For example, instead of say 60 pips SL or TP, I might use 0.009 of bid price as a SL or TP.
Or, I may use break of recent HH or LL as an exit signal.
I also use time based exits, for example if price has moved x% and time is TimeCurrent is less than Open Time plus timeX then exit.
I also go flat on Friday evenings and try to be flat each evening to avoid carry charges and morning surprises.
OK. There you have at least 3 of my current favorite exit signals. What are yours?
For the sake of the thread please avoid news and central bank comments or fundamental exit signals.
Interested in hearing about technical, testable signals, ideas that can be tested for consistency and effectiveness.
OK, so here's a short list so far just based on this short first post. My favorites in bold. The reason I like them is because they can be applied in any algorithm and tested for consistency instead of randomly.
1. Hard point or pip based SLs and TPs.
2. Opposing MA cross. Either price crosses an MA or 2 or more MAs cross.
3. Stochastic or RSI over under 20/80 or 30/70 etc. (Or, insert any other useful indicator here).
4. Exit on Percentage of opening price based SLs and TPs.
5. Exit on Break of recent HH or LL.
6. Time based exits. If market moves X amount in X amount of time.
7. Exit on Friday evening.
8. Exit before close of each day.
9. Exit based on pre determined Risk Reward ratio, for example 1:1.5 or 1:2 etc.
10. Exit based on pre determined price area levels such as pivot points, Fibonacci, Gann or Gartley or other S/R levels.
11. Engulfing candle patterns. Reversal star candle patterns (for candlestick traders).
12. Exit on Inside bar or other interesting bar patterns.
Of course any of these can also be used for entry sigs as well, but only EXIT signals that you personally use and that you think are effective and absolute is what this thread is about.