Profit is the most basic goal in entering any kind of business. In this episode of Turth About FX, Walter talks about two ways on how to maximize your profits from a good trend and how they can help you survive in trading.

http://media.blubrry.com/truth_about_fx/content.blubrry.com/truth_about_fx/TAFX_-_EP9_How_to_Maximize_Profits_from_a_Trend.mp3

Download (Duration: 02:56/ 3.36 MB)

In This Episode:

01:03 – turtles trading

02:03 – additional trades

02:33 – maximize trades

Tweetables:

Get in really early on the trend like a breakout trader. [Click To Tweet].

Add more positions whether its your longest, last, or equal.  [Click To Tweet].

Take the risk off from the previous position and move the stop loss to breakeven. [Click To Tweet].

Announcer: Sometimes, forex trading is a wild and wooly place to be. That’s why Hugh is here, to post your questions to Walter, the naked forex guy. Hugh’s got questions and Walter’s got the answers. Here at the Truth About FX Podcast.

Hugh: Hey, Walter! How’s the weather in Australia today?

Walter: It’s actually really nice. It’s winter but we have a summer day. It’s got the summer sun and nice warm summer breeze which is unusual for this time of the year. It’s quite nice. How about you? How are you going?

Hugh: Cool. It’s been pretty warm out here. It’s finally getting to feel like summer so it’s pretty good.

Walter: Excellent.

Hugh: Well, today’s question is: How do I maximize my profits from a nice trend?

Walter: Well, that’s a good one. There’s two approaches: one is, to get in really early on the trend so you’re almost bordering on being a breakout trader, like how the turtles trading it. If you’re not familiar with the turtles trading system, will post that under this podcast. Will post the Rules of The Turtles Trading Systems for you there.

That’s one way to do this. To get in early and get in when the market is just starting to pick it’s head up or down showing you that it’s starting a downtrend or an uptrend.

Now, the other way — and this is one that you hear traders like the Williams, Keyes dig into these and many other traders will tell you — is to simply add more positions.

Now, how do you do that? Whether you’re longest positions is your first or your longest position is your last, it’s up to you; or you just add equal positions. That’s all up to you but this is probably the best way to do it is to simply add positions.

Some traders like to take the risk off of the previous position so they move their stop loss to breakeven on position one when they add position two.

Then when position two goes far enough and profit, they move that to break even and so forth. So, it’s almost like they only really have one trade on. Even though they’re carrying all these additional trades. You can do that as well.

Now, I know that you will. In forex, you can get slipped so even though you stop at breakeven,