hi,

given the increased volatility these days i think the 2% rule makes it very hard if not impossible to trade some pairs like USDJPY or USDCHF in the contest if you wish to trade the higher timeframes like 4h or daily charts ...with this timeframes i usually need a SL from over 100 to 150 pips minimum to make a reasonable trade ...but the 2% rule allows only a SL about 80 Pips in the moment for USDCHF for example this is not enough regarding the common shakeouts these days ...which easily stop you out...

i think it would be fair to increase the 2% rule for certain pairs or better to change the limitation value from % to pips..let's say the with a max limit of +/- 150 or 200 pips

thanks

nobody answered ....so i dicovered i posted in the wrong forum

moderator please move it to the trader contest forum

Although the topic has already been discussed numerously (viewtopic.php?f=48&t=42348), we still return to the initial logics built in the contest rules.

This logic implies that any participant is expected to follow his positions and adjust the target levels in case of necessity. We do not want traders to open 5 mio positions (max allowed exposure per instrument) and leave them till the end of the month setting infinitely distant TP/SLs. Instead, we expect the trading process to be consistent, grounded and controlled by the trader.

A 2% limitation allows setting an initial range of little bit less than 300 pips for a EUR/USD position, which is quite adequate given the average figures of the daily volatility. All the more that one can always adjust the target levels in accordance with the instrument's movement.

The recent 1,000 pips move of the CHF is clearly an exceptional case and cannot be considered as a benchmark for defining the deviation limits for TP/SLs.

well i do understand the arguments but it's just that the 2% rule is favouring certain pairs..
it's kind of an internal "biased market regulation"

i don't have exact numbers but the average daily range from EURUSD might be about 140 pips for 2011 so trading with the 2% rule gives a a potential 300 pips range which is equal to
> DAILY RANGE * 2

...but USD/JPY has an average daily range of about 80 pips for 2011 and trading with the rule gives you just a potential 80 pips range which is equal to = DAILY RANGE * 1

maybe in the future the rule can be adjusted with another formular so that we could trading ranges that are more equal to eache other

Why don't you set th maximum SL in pips terms rather than in % ? This rule is clearly not adapted for pairs such as AUDUSD , AUDCHF , AUDJPY or NZDUSD , NZDJPY ect ..
With a maximum SL set at 200 pips for example , we'll be free to trade all pairs .Volatility is increasing since august , and We can touch the Sl in minutes on aud for example ..
Please do something to make this contest not only for URUSD followers , Thank You

I totally agree. In fact I think it would be better to set a 3% limit at least for now on all pairs. The limits now are WAY too small on the commodity pairs.

And when you try to trade a pair like audjpy then you will have to adjust you SL SEVERAL times before entering it .Finally ,I send order at market with a approximative SL ..It means that it creates exactly what you do not need in trading : emotions .
Please adjust the SL in pip terms and It will works perfectly for a disciplined trading in accordance with "preferences " wich is available on J forex..