Position Trading strategy

With this strategy I trade futures, stocks and shares.


You can be right on the direction of the market yet lose if the timing is wrong.


That is the frustrating part of trading (if you use a stop loss), the stop loss can be a problem. The market may go up from A to B as you expected but suddenly there is an unexpected move down and the stop loss is activated, then the rally resumes. It is a frustrating situation, however, there is a way to trade without frustration.


The solution to this problem is called position trading without a stop loss.


This strategy is one of the best strategies, because the trades are smaller than normal and I don't use a stop loss. It is a bit like long term investing.


What are the advantages of position trading?


1. Smaller trades and no stop loss.
2. Gives you more freedom to do other things
3. Reduces the level of stress
4. Has a high percentage of success

Fact #1 People tend to lose because they use leverage and a stop loss. The leverage can be a problem because if you use too much of it and the market goes against you you will have to close at a loss (stop loss is activated). It is for that reason that many people lose, the stop loss is in the way.


With position trading I don't have a stop loss and I trade smaller sizes, therefore there is no need to panic and close a trade at a loss. In general most trades that are in a loss will recover and turn into a profit.


Fact #2 Position trading is not an active strategy, I take a trade and keep it for weeks or months. This low activity gives me more freedom to do other things. No need to check the markets all the time. You can have a full time job and still follow this strategy.


Fact #3: It is a more relaxing way to trade because each trade is small. If a trade goes against you it is not going to hurt your account badly. You will sleep well at night.


Fact #4: Position trading has a high success rate simply because there is no stop loss, no unnecessary losses. As I was saying in #1 many trades that would be stopped out with a strategy using a stop loss, will survive and make a profit without a stop loss, if you give the trade more time to recover.


How this strategy works?


I trade futures (indices, dollar, gold, silver, commodities, ...) and stocks and shares.


For the futures, you need a spread betting account with IG to follow this strategy. The reason is because I publish the recommended trade size based on IG contracts specifications on the spread betting platform. It is very important to get the trade size right because there is no stop loss, therefore you need to be with IG spread betting.


Each time I open a trade I will post the quantity based on £1000 in the account. 


There will be regular updates on my current positions (open trades).
I only trade futures because there is no daily charge with a future.


This is not an active strategy. Updates are posted on the website and when there is a new update I alert you by email.


I cover a range of markets, including FTSE 100, S&P 500, Wall street, Gold, Copper, 10Y T-Note, Carbon Emissions, stocks, funds and US dollar index.


Stocks and shares


I buy real stocks (not derivatives), to trade stocks and shares I use a share dealing account (not CFD, not spread betting). As I buy the actual stock, there is no leverage (no margin), no daily interest, I own the stock until I sell it. While I own the stock I receive the dividend.



You will receive the daily FTSE 100 and S&P 500 short term forecast and regular analysis on all the markets I cover.



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