Grid trading method a trading strategy close to the laying win

  • 2023/2/25 9:52:55
  • read: 4
  • forextradingsessiontimes

f cashback forexancial forextradingmarket patterns are no more than three patterns: up, consolidation, down based on historical experience, investors have to do is no matter which trend, can maintain a rational behavior forex forextradingtime session times mentality and consolidation trend is the financial market norm, then how to consolidate in the market Maintain good earnings is every investor should think about, rather than dead cover and so on the arrival of the market a, the principle of grid trading method profitability of the famous numerologist, investor James Simmons invented the grid trading method, is a stable, insurance, the yield will not fluctuate trading method, with an annualized rate of return of up to 35% or more, is widely used in stocks, funds, futures and currency Ultimately, the main way to make profits in the financial markets is through the buy-low-sell-high trading method, if every trade you make is in buy-low-sell-high, then profits will follow you around. Relying on human thinking, is a programmed operation does not predict the price of the rise and fall, like a fishing net will be the subject price of the grid, including all up and down fluctuations in the market, no matter how up and down the market price fluctuations, can always implement the discipline of buying low and selling high, the grid than the large fluctuations in a net, this method is particularly suitable for short term trading in the consolidation market II, the application of the consolidation grid trading method as the name implies. In the consolidation (i.e., price fluctuations in a certain price range) trend with the grid trading method, derived from the consolidation grid trading method in the financial trading market, 70%-80% of the time the market will be in consolidation, the reasonable use of analytical indicators or K-line patterns, to determine the trend and direction of the trading species, combined with the grid trading method only to do the trading opportunities under the consolidation market, the requirement is steady and accurate first, confirm the grid First, confirm the highest and lowest points of the grid, that is, the relative highest and lowest prices, and then between the highest and lowest prices for equal division, the spacing to be decided by the average amplitude of the selected subject to equal division of the highest and lowest prices at a spacing of 1% per interval, each compartment corresponds to a price level, the fixed price of each compartment in the table, it is the basis for future buying and selling then, according to the amount of money invested in the market, remove these Then, based on the amount of money invested in the market, remove the number of cells, the amount of funds available for trading in each grid, then you can also adjust the ratio of the allocated funds because, according to statistics, in the very high and very low prices, the market does not stay much time, in order to improve the utilization of funds can be appropriate to reduce the amount of funds allocated to the high and low levels, as appropriate, add to the middle part of the general situation, the investors current price will not exceed the pre-set network high and low points for the first time Open a position to buy the amount of the highest point to the current price of the total amount of money, according to the current price in a 1% grid position lower price pre-buried buy orders, waiting for the market fluctuations to your expected price level deal; if the market did not fall, turn up, it is not necessary to wait for it to fall, when close to the current 1% network position near the upper price, according to the timely value of the deal that can be one-way to do more for example, such as to invest 100,000 Funds, the total sub-grid for 20 cells, each cell share of 5,000 yuan, the current price at the highest level down to the fourth position, the first position capital: 5000X4 = 20,000 three, the advantages and disadvantages of the consolidation grid trading method like to do the consolidation of the market investors, and strive to earn through the price fluctuations between the consolidation range of profit opportunities in the consolidation market, trading opportunities like cattle, will make people can not resist to place a single transaction The need to bear in mind that profit and loss is relative, only control within a reasonable range of capital management, is the way to stable profit for hobbyists to set a burst position as a stop-loss investors, or need to think twice before acting advantages: 1. consolidation market trading opportunities like cattle, fast in and fast out of the probability of completing 100% correct rate 2. By making it intelligent trading, save a lot of time for a series of repetitive work such as staring, pending orders, setting order parameters, etc. Disadvantages: 1. consolidation market, the need for sufficient capital and a reasonable capital management system, once the one-way trend market, account funds will suffer a heavy blow 2. The grid trading method has received mixed reviews from investors. Proponents believe that the grid trading method has inherent advantages during market consolidation, while opponents believe that the grid trading method is an evolution of the gambling mentality in the trading market, so please strictly evaluate your risk exposure when using this trading strategy Summary: The market is full of risks and no trading method is foolproof. When using the grid trading method, the choice and treatment of the highest and lowest points is the key and there is a breakthrough of the expected highest and lowest points, there is often a greater risk point, these issues we must consider clearly in advance in the actual operation