Trader Kwanwei imported his StructureAnalys1s strategy from his former broker to Darwinex back in August. Since then, his DARWIN $JCW made it twice to DarwinIA’s top 40, achieving an impressive 4th place in November! Read on to learn a bit more about the trader behind DARWIN $JCW. Kwanwei is pretty active in our Community Forum, too, so make sure you check his contributions over there!
So, tell us a little about yourself. How did you get started and how long have you been trading for?
I am 32 years old and have 8 years of trading experience. I was introduced to forex trading by a friend who told me that it is very easy to earn money trading forex (*now I know it is not that easy at all, I bet everyone will agree with me on this!).
I used to trade M5/M15 charts but I felt it was too stressful… also I did not have time to spend with my family. Since then, I have changed my trading timeframe to Daily which is less stressful than M5/M15.
About your trading strategy: what pairs do you usually trade? Do you always trade the same timeframes?
I’m an Swing Trader and trade most of the FX pairs + Gold and Silver. My trading strategy is to look from Top Down Analysis on market structure from Monthly to Daily chart. My entry is based on Daily chart. Sometimes, I lower down to H4 to find a better place to put my Buy Limit/Sell Limit. Risk management and position size are properly calculated with risking 1% to 1.5% for each trade.
As a trader, what would you say is your greatest strength?
I would not say that I have a “greatest” strength but if I need to name one, it would be Discipline because it plays an important role in my trading. I am sure remaining disciplined is very challenging for every trader, but how disciplined you are determines how successful you are as a trader. As a disciplined trader, I plan my trade and trade my plan, I calculate the risk, position size and let the market decide the outcome. Also, I want to quote a sentence from Mark Douglas,”When you really believe that trading is simply a probability game, concepts like right or wrong or win or lose no longer have the same significance.” I totally agree with him because trading is really a probability game, when you win, you win big, when you lose, you lose small. In the end of the journey, you will see the importance of discipline.
And your biggest weakness?
I would say biggest weakness is Greed. This is something that I am still trying to improve on myself. I believe we all have heard this multiple times: “Greed Is Your Worst Enemy” . Greed is not easy to overcome as it is built within human nature. There is like an instinct that pushes humans to always try to do better, to try to get just a little more, to try to get a few more pips…
Our algos tell you are very good when it comes to Performance & Scalability. Any ideas for other traders who need to improve on those attributes?
In my opinion, Performance measures how profitable are you in your trading, therefore with good risk management, I’m sure you will see your performance growth. In terms of scalability, most of my entry are using limit orders. For those who want to improve on these attributes, you need to have a trading plan. This way, you know where to place your limit orders at a comfortable level, target profit and stop loss. Of course, you will miss some good trades sometimes because the market never goes back to hit your limit orders. However, market is trending 30% only and 70% are sideways, therefore the chances to hit your limit orders are still quite high.
What is the most important lesson you have learnt in your trading career?
The most important lesson that I had to learn is risk management. Nobody has a 100% winning strategy or trading system, however what makes the strategy/system work is the risk management. You can win 10 trades with small pips, however when hit by 1 bad trade, it will wipe out all your profit. I have learnt this painful lesson myself when I started trading forex and blew out 1 trading account within the first 6 months. If i’m going to divide the importance percentage into few parts, I would say risk management is 50% , trading strategy is 30%, and emotional discipline is 20%. You can have a very good strategy, but with bad risk management and emotional discipline, you won’t be able to stay alive and beat the market. It is all about surviving in the market.
Finally, any comment you’d like to share with the fellow traders who read this?
I believe there are lots of successful traders in Darwinex. Last but not least, I would like to emphasise that market is random, you can’t control the market movement… so please stay focused and disciplined. In trading, you will have winners and losers. Do not lose faith even when you get hit by few loses or large drawdowns, do not be afraid to press the buy/sell button, do not let emotions control you because you won’t know what the next trade will be like, it could be a big winner.
Happy Pipping everyone, good luck and good trading!