GridTechinque why not?
Give us a clue
What is The Grid Techinque ?
Martin
Give us a clue
What is The Grid Techinque ?
Martin
C'mon you have to know what is the GridTechinque.
In this technique, we put sell and buy orders at various intervals. Each order has a TP of the interval gap and no stops! Whenever an order gets executed and the trade is closed, we create a similar order again. In this way, whatever direction the trend is we still make profit. Only issues are we need to trade using only 3 to 5% of our capital as we need a lot of width. Advantages are we need to just setup our orders and monitor them once or twice a day spending less than an hour.
Usually I use the daily FT with a TP of 100 pips.
Hope this will help you to understand.
Hi,
I want to know one thing. Why people are searching for a special EA to make money and don't see that we already have the best system, Why nobody use The Grid Techinque?
Maybe I'm wrong but I want to know why? 
Because of the large margin needed. As you have stated, you can only use less than 5% of your capital if you wish to do Grid trading. Any more than that and you risk your positions being closed due to lack of margin. Another reason is if the market is trending, you may see your margin dropping like a rock due to the unclosed positions.
Because of the large margin needed. As you have stated, you can only use less than 5% of your capital if you wish to do Grid trading. Any more than that and you risk your positions being closed due to lack of margin. Another reason is if the market is trending, you may see your margin dropping like a rock due to the unclosed positions.
I can make with and initial balance of 50k in two years around 150k and I think that is a great result but the problem is that I have to trade manually 
Grid System
I can make with and initial balance of 50k in two years around 150k and I think that is a great result but the problem is that I have to trade manually
Why do you have to trade this system manually?
I'm developing a system that sounds similar to what you are describing, and I was hoping to use MT to test it out and trade it (as soon as I figure out how to write an EA).
Why do you have to trade this system manually? I'm developing a system that sounds similar to what you are describing, and I was hoping to use MT to test it out and trade it (as soon as I figure out how to write an EA).
I trade manually because I don't have the EA.
How do you enter?
:D
C'mon you have to know what is the GridTechinque.
In this technique, we put sell and buy orders at various intervals. Each order has a TP of the interval gap and no stops! Whenever an order gets executed and the trade is closed, we create a similar order again. In this way, whatever direction the trend is we still make profit. Only issues are we need to trade using only 3 to 5% of our capital as we need a lot of width. Advantages are we need to just setup our orders and monitor them once or twice a day spending less than an hour.
Usually I use the daily FT with a TP of 100 pips.
Hope this will help you to understand.If you use a TP to close the order, are you saying that you re-enter long when the price drops back down and re-enter short when the price goes back up to the original entry level?
There are a lot of grid-building scripts floating around on a lot of forums. You just need to do a little searching.
The biggest drawback of grids is that you have to be willing to live through the unrealized drawdowns. On your 50k account, are you willing to see an unrealized drawdown of 20, 30, even 40K when your grid is "fanning out", and still hold your position, "knowing" that the grid is going to close eventually?
The grid systems that I've seen rely on you being hedged until the market trends enough for you to close the whole grid for a profit. The problem with using a TP in this is that once you take profit, the hedge is gone. Now you've exposed yourself to unlimited risk.
I'm not saying grids don't work. I'm testing a couple right now and I see a lot of potential to have a really solid trading system. (I know I "preach" a lot about learning to Trade, not Follow. This is my one venture into purely mechanical Following.) All I'm saying is that you need to be very conservative with your margin. The grids I'm testing now, I make sure I have between $750 - $1,000 capital / pair, trading at $0.01/pip. (yes, that's really 1 cent/pip) With 50K, I'd be trading 4 pairs at $0.12 - 0.15/pip.
I'm not sure I really have a point in all of this. I guess I'm just rambling. 
Oh, I know... Whoever tries to use grids, just make sure that you trade very, very conservatively with regards to your margin. Break that rule at your own peril. There's nothing worse than being in the middle of a large grid and you run out of margin. Everything goes to hell as your account blows up.
Keris
There are a lot of grid-building scripts floating around on a lot of forums. You just need to do a little searching.
The biggest drawback of grids is that you have to be willing to live through the unrealized drawdowns. On your 50k account, are you willing to see an unrealized drawdown of 20, 30, even 40K when your grid is "fanning out", and still hold your position, "knowing" that the grid is going to close eventually?
The grid systems that I've seen rely on you being hedged until the market trends enough for you to close the whole grid for a profit. The problem with using a TP in this is that once you take profit, the hedge is gone. Now you've exposed yourself to unlimited risk.
I'm not saying grids don't work. I'm testing a couple right now and I see a lot of potential to have a really solid trading system. (I know I "preach" a lot about learning to Trade, not Follow. This is my one venture into purely mechanical Following.) All I'm saying is that you need to be very conservative with your margin. The grids I'm testing now, I make sure I have between $750 - $1,000 capital / pair, trading at $0.01/pip. (yes, that's really 1 cent/pip) With 50K, I'd be trading 4 pairs at $0.12 - 0.15/pip.
I'm not sure I really have a point in all of this. I guess I'm just rambling. Oh, I know... Whoever tries to use grids, just make sure that you trade very, very conservatively with regards to your margin. Break that rule at your own peril. There's nothing worse than being in the middle of a large grid and you run out of margin. Everything goes to hell as your account blows up.
Keris,
You are right. I was testing the Grid Techinque. Initial capital 10k lots 0.10 and was working really good but I had a drawdown of 50% , and I'm trading only one pair. EUR/USD but think that USD/JPY is better.
I don't want to have a drawdown of 50%, I tjink that's the problem in the GridT. You need a big margin and that's all.
Do tou have an EA to test?
Thanks
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Hi,
I want to know one thing. Why people are searching for a special EA to make money and don't see that we already have the best system, Why nobody use The Grid Techinque?
Maybe I'm wrong but I want to know why?
Thanks in advance.