Starting date: 9/August/2021
Starting capital: $500
Capital at present: $583
Trade nr . 12
(all trading ideas in the series with comentary and outcome can be found on my profile)
As bitcoin sentiment turned a little bit to the side all my today's trades were SHORT.
Also I was luck enough to catch the BTC market cap dominance rising in a short term which was also a good indicator that alts will bleed.
Bought of the previous leg down.
Cluster of support acted as resistance.
This is probably one the minority of the trades where the S/L is actually correct.
I tend to open positions with too tight of the stop loss. When stop loss is tight, risk is lower (you lose less if the stop is hit) but probability of success is also much lower.
Also, because the risk is higher with wider stop/loss - position size should be calculated accordingly. That actually doesn't affect my position, as I always using 2% risk. Sometimes if my stop is very far, I would open only 25-50% of the full position (calculated by risk) and scale in if it goes against me.
As you can see here R:R is only 1.27, but probability of going down probably at least 60%, which makes positive traders equation.