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039: Tom Dante – Speaks to the Competitiveness of Trading and Essential Skill Sets for Profitability

Chat With Traders

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How Far Do Your Winning Trades Go Against You?

A lot of people don't look at this. If you're using a 50 tick stop, but the furthest price ever went against you is six ticks, then guess what? You've realized your stop is way too wide. Something else is always worthwhile looking at is your maximum adverse excursion. So how far do your winning trades go against you? Let's assume for a second that you've got a fixed strategy where you have a 50tick stop on every single trade. And you have, I don't know, a 50 tick target. So you're going for a one R. and let's just assume that you win 100% of your trades. But again, people don't

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