Monday, February 3, 2014

6E 2/3/14 +0.0007

Have been comparing the ES with the 6E (Euro FX Futures) this weekend. Definitely less volume in the latter. However, I think it would offer a better risk/reward ratio for me. My current setup trading the ES is 4-5 ticks targets and 6-8 ticks stops. Wasn't and still not comfortable with this arrangement. With the 6E, I'm going for 7 ticks targets and 6 ticks stops. Decided to switch and traded the 6E today. Did only 1 trade, as this was my first time trading this instrument, for +0.0007. Anyway, this could be just a temporary thing, though. Would not surprise me, if I revert back to the ES within the next few days.

Euro FX Futures for Monday 2/3/14
6E chart 2/3/14
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2 comments:

  1. MBAGearheadFebruary 4, 2014 at 8:49 PM

    Hi Pocky, just curious if you would care to elaborate why you haven't been comfortable with your R:R on ES? Given your track record on this blog, it looks like you rarely had a losing day? (At least over past 3.5 months when you posted your daily take in the title.) Good trading.

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  2. patchadaFebruary 4, 2014 at 10:31 PM

    Hi MBAGearhead - My original target/stop setup was 1.00/2.00. I've since adjusted it to 1.25/1.50. I don't think it can be adjusted any further. Anyway, there are 2 main reasons why I'm not comfortable.
    1. It's difficult for me to trade > 1 contract. Even now, the thought of 2 winning trades being negated by 1 losing one is adding unnecessary pressure. It would simply be too much for me to handle emotionally, if I were to go to 2 or more contracts.
    2. Currently, I miss/skip a lot of trades not because I'm being picky, but mostly because my R/R makes me hesitant/nervous to jump in. All goes back to the 1 loser eating away profits from 2 winners.

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