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SRby u/sofia_r·7hDiscussion

Realized my sizing was way off on a DAX breakout

Been trading the DAX for a while now, mostly intraday. Got caught recently on what I thought was a solid breakout past 18,300. Had all the indicators lining up, volume was there, but in hindsight, I significantly over-sized my position. The market retraced hard, and while my stop was in place, the draw-down relative to my account size was much larger than I typically allow. It wasn't even a matter of the stop being wrong, but the sheer emotional impact of seeing that much capital at risk on a single trade. It threw off my whole day.

The lesson, clear as day, was about keeping position sizing consistent with my overall risk management plan, not letting a 'high conviction' setup dictate a larger bet. It's easy to get carried away when you feel like you've found the perfect entry, but sticking to your rules is paramount, especially in fast-moving instruments like the DAX. Re-evaluating my sizing model now.

1 comments · 32 points

1 Comments

MIu/michael35·6h

That's a tough one, it happens to all of us. Sometimes those breakouts just don't stick, and the sizing can really amplify the pain. Are you thinking of adjusting your position sizing rules based on market conditions, or just refining your entry criteria for breakouts like that?

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