Thanks once again for practical advice outside of the technical info. This and another video that I watched help me to look forward to starting my first trade in a few weeks with less apprehension.
Good video, my question is with the market volitity, and the ATR changing from candle to candle why is it best to risk the same amount on each trade? Thank You
Thanks David for the great educational videos. Meanwhile, now that you have mentioned Bollinger Bands, MACD and Stochastic Oscillator, hope you are going to cover them soon.
Hi, Earnest. Your comment will be taken into account. Stay tuned for more videos from Trading 212.
7 років тому+6
Hey David, thanks for this videos, they are simple and helpful! I would like to ask you if you can help out with Fibonacci, there are a lot of stuff out there about it but I think your way of putting things could help. Thanks!
Thanks for reaching out, António. Your suggestion has been noted, as usual. You may find this video about the Fibonacci Retracements helpful: ua-cam.com/video/Kz6-8nQLRHM/v-deo.html.
As long as your automatic stoploss gets fulfilled at exactly the price you wish it's ok. BUT in a not so liquid market and/or in a panic sell your exchange will sell at ANY price under your stoploss to fulfill. That's what these theorists don't tell you.
Risk is the amount you loose if your stop losses get stopped out once your stop losses are in th green/profit the risk is 0 and you can take the same risk on different positions so you can by theory have 97% of your capital invested and 3% in risk with negativ Stop losses.
Hi, I am confused at what how the 10 pounds comes into things in the example. Are you saying that the stop loss cannot go further down? Or maybe that we can't risk more than that per point for every trade? Sorry, but I'm new to trading and have only traded cryptocurrency and never on stock market.
Hi, it's trading at a size that meant each one point movement is only giving you £10 of risk per point move. maybe another way of explaining it: if you only wanted to lose say £150 on some shares, and your stop loss was going to be 10 away from where you got in, then you would need to buy just £1500 worth of shares. That way, if you get stopped out if it drops 10%, your loss is only the £150 you planned for. I hope this helps explain.
Hi David, By having a fixed percentage of stop loss values on all trade, we may end up stop lossed too soon. Rather it is always good to have a logical stop loss value like previous lows it has made and to keep a few points lower than those previous low the market had.reached.
Why not take a position with say 12.5% of the account, £625, with stop-loss ensuring max £150 loss (3% of account). Yes, there's the chance of losing more this way by falling through a gap, but isn't that unlikely compared to the reward of a winning position of £625 vs £150? Or even £1250 vs £150. Factor in the trading fees and it makes even less sense to trade with only £150 at a time. In other words, when using stop-loss, would you ever actually lose the entire trade of £150? If not then we aren't actually risking £150 or 3%. What am I missing, what's so important with this rigidity in position sizing?
thank u, please sir, if it's possible, make a video about trading randomly on forex.. by risking 2% and with good risk/reward (1$ to make 2$) because i can't believe how i became profitable since i'm trading forex randomly with diversification (i don't trade correlated pairs in the same time).. so is that really works ?
Hi there. Open a free Practice Account and test your trading strategies. Takes only seconds to get started at www.trading212.com/en/Free-FOREX-Practice-Account-GBP. Visit the Learning Centre at www.trading212.com/en/Get-to-know-FOREX-trading. Watch the other tutorials and subscribe to the channel. Fresh content is published on a weekly basis. Refer to the customer service experts in case of questions. The contacts are available at www.trading212.com/en/Contact.
Hi there. Given the conditions provided by Trading 212 and the account balance you intend to trade with, you can stick to the minimum traded quantities.
Hi, Tony. The only commission charged when trading via Trading 212 is for positions with CFDs on company stocks - 1.5 GBP per transaction. More details at www.trading212.com/en/Terms-and-Commissions.
Though David Jones's solution to the calculation appears to be "£10", I'm fairly certain he means 10 shares (at £115/share = £1150 investment) i.e. step 1.) multiply your account ballance by .03 to determine max amount to risk (£5000x.03=£150), 2.) subtract stop price (£100) from share price (£115) = £15, step 3.) divide £150 risk by £15 risk/share = 10 shares [ in that calculation the £ risk units cancel each other out, resulting in the unit remaining being shares], step 4.) multiply 10 shares by share price of £115/share = £1150 investment to limit risk to 3% of account
I want to thank you at Trading 212 for your videos. They are a blessing. I really appreciate you. Once again thank you very much.
great advice! That's exactly what I always do too, risk 1-3% max
Same!
Thanks once again for practical advice outside of the technical info. This and another video that I watched help me to look forward to starting my first trade in a few weeks with less apprehension.
ive learn alot about trading with trading 212, thanks for the videos. amazing work!!!
Thanks for your endorsement, Anthony. Great to see you are pleased with the videos. Stay tuned for more in the future - fresh content every week.
Could you make a video about how long we should wait to recover our positions from losses and when to cut them
Thanks for your comment. Will be taken into consideration, as usual.
Good video, my question is with the market volitity, and the ATR changing from candle to candle why is it best to risk the same amount on each trade? Thank You
How do you calculate how much share you need to buy in day trading as there is so less time to calculate?
Thanks David for the great educational videos. Meanwhile, now that you have mentioned Bollinger Bands, MACD and Stochastic Oscillator, hope you are going to cover them soon.
Hi, Earnest. Your comment will be taken into account. Stay tuned for more videos from Trading 212.
Hey David, thanks for this videos, they are simple and helpful! I would like to ask you if you can help out with Fibonacci, there are a lot of stuff out there about it but I think your way of putting things could help. Thanks!
Thanks for reaching out, António. Your suggestion has been noted, as usual. You may find this video about the Fibonacci Retracements helpful: ua-cam.com/video/Kz6-8nQLRHM/v-deo.html.
What is the best way to use the M.A.E.E trading strategy?
When doing risk management should u go by your balance or the equity you have?
As long as your automatic stoploss gets fulfilled at exactly the price you wish it's ok. BUT in a not so liquid market and/or in a panic sell your exchange will sell at ANY price under your stoploss to fulfill. That's what these theorists don't tell you.
Risk is the amount you loose if your stop losses get stopped out once your stop losses are in th green/profit the risk is 0 and you can take the same risk on different positions so you can by theory have 97% of your capital invested and 3% in risk with negativ Stop losses.
Hi, I am confused at what how the 10 pounds comes into things in the example. Are you saying that the stop loss cannot go further down? Or maybe that we can't risk more than that per point for every trade? Sorry, but I'm new to trading and have only traded cryptocurrency and never on stock market.
Hi, it's trading at a size that meant each one point movement is only giving you £10 of risk per point move. maybe another way of explaining it: if you only wanted to lose say £150 on some shares, and your stop loss was going to be 10 away from where you got in, then you would need to buy just £1500 worth of shares. That way, if you get stopped out if it drops 10%, your loss is only the £150 you planned for. I hope this helps explain.
Hi David, By having a fixed percentage of stop loss values on all trade, we may end up stop lossed too soon. Rather it is always good to have a logical stop loss value like previous lows it has made and to keep a few points lower than those previous low the market had.reached.
Why not take a position with say 12.5% of the account, £625, with stop-loss ensuring max £150 loss (3% of account). Yes, there's the chance of losing more this way by falling through a gap, but isn't that unlikely compared to the reward of a winning position of £625 vs £150? Or even £1250 vs £150. Factor in the trading fees and it makes even less sense to trade with only £150 at a time.
In other words, when using stop-loss, would you ever actually lose the entire trade of £150? If not then we aren't actually risking £150 or 3%.
What am I missing, what's so important with this rigidity in position sizing?
thank u, please sir, if it's possible, make a video about trading randomly on forex.. by risking 2% and with good risk/reward (1$ to make 2$) because i can't believe how i became profitable since i'm trading forex randomly with diversification (i don't trade correlated pairs in the same time).. so is that really works ?
Hi, Abdelkader. Thanks for your idea. It has been noted.
would love to get into trading, but don't have a clue how things work😧
Hi there. Open a free Practice Account and test your trading strategies. Takes only seconds to get started at www.trading212.com/en/Free-FOREX-Practice-Account-GBP. Visit the Learning Centre at www.trading212.com/en/Get-to-know-FOREX-trading. Watch the other tutorials and subscribe to the channel. Fresh content is published on a weekly basis. Refer to the customer service experts in case of questions. The contacts are available at www.trading212.com/en/Contact.
Trading 212 Thanks I will try it
Great videos, than you!!!
If you start an account with 10,000 to 15,000 is it possible to earn 500.00 per day?
Hi, Richard. Your results depend on your trading strategy and discipline, as well as on the market.
if i have 200 dollars. howmuch i can risk on each trade?
10% 20 usd
Hi there. Given the conditions provided by Trading 212 and the account balance you intend to trade with, you can stick to the minimum traded quantities.
Thanks
if i have 1000$ account, how much would be the average or expected return for a newbie ?
wilfredo sabornido the expected return for a newbie is a loss of your money
You should name it: "how to lose 500 pounds every trade" :D lol
Pointless. Investing small amount when fees are £12.50 . That's £25 just to buy and sell.
Hi, Tony. The only commission charged when trading via Trading 212 is for positions with CFDs on company stocks - 1.5 GBP per transaction. More details at www.trading212.com/en/Terms-and-Commissions.
Though David Jones's solution to the calculation appears to be "£10", I'm fairly certain he means 10 shares (at £115/share = £1150 investment) i.e. step 1.) multiply your account ballance by .03 to determine max amount to risk (£5000x.03=£150), 2.) subtract stop price (£100) from share price (£115) = £15, step 3.) divide £150 risk by £15 risk/share = 10 shares [ in that calculation the £ risk units cancel each other out, resulting in the unit remaining being shares], step 4.) multiply 10 shares by share price of £115/share = £1150 investment to limit risk to 3% of account
Who loses the whole position on a trade?? This video doesn’t make sense.
If your trade is 500 maybe you lose 100. Not the whole 500