what is the method to collect a position profit into stages? For example, for an open position gain approaches 20 pips and we need to collect this and continue…should we close the position and open new one, or modify it in a way such that we did gain the 20 and still we r running …how to collect profit at stages? Thanks
Sorry, I don’t digest this well. Let me take step by step as per my understanding:
1- Place a market execution or pending order with volume =2
2- once order is triggered set the Stop Loss to the required value.
3- Set the Take profit to ???
4- When price = 1.0010 change the volume = 1 instead of 2 ? what this will mean - does it mean that we collect already a profit of 10 pips at 1 lot and still position will continue ?
5- whn price = 1.0020 take profit ?
Excuse me as usually when I modify order my broker usually disable the volume it is inactive and I can just modify the Sl or TP , I am not sure as this needs to be revisited while trading.
Thanks for ur understanding …
If you want to use Take Profits, then you need to decide at the time you place the trade, and should enter on different positions with different TP levels. You can later modify the TP of these positions (but not the sizes of the positions).
However, you can also close part of a position at any time by setting the Volume field to the lot size that you want to close. MT4 then closes that part, and creates a new trade for the remainder of the position.
You have to experiment extensively regarding this. What you could come up with is possibly far from perfect, but the main thing to keep in mind is to execute a profit taking plan that you are comfortable with.
You can take profit based on price levels, based on number of pips, and based on percentages.
Put two trades on, when you get to your target, close one, simple and very effective.
With my broker I use buy limits if I’m short and sell limits if I’m long to take partial profits.
A good idea though is to trade both positions with half your lot size… so same risk!
Personally I just open the one position & I manually take profit by closing the trade but changing the position size when I do so.
So if I buy, say a 0.4 lot, when the close window pops-up, I’ll change the position size to 0.2 & close it to take half the profits & leave the other half to run. Make sense? I’d change my stop-loss to break-even after my first profit take too.