For this question I’m using Babypips’ very own “It’s So Easy It’s Ridiculous” System as a specific example (see link: Trading System Rules: How Your Forex Trading System Should Look). The question itself is applicable to any trading system.
They say to use a 30pip S/L.
So let’s say the strategy conditions are met, you enter a trade, things go bad and you get stopped out. It’s likely, though, that according to the indicators conditions are still met so do you re-enter the trade? Or do you now wait for the EMAs to cross over the other way before making a new trade (which could take days or weeks)?