Can a poor RR make a trader profitable

Can a trader be profitable if he takes trade with poor RR e.g 1:0.6

Simple answer is yes and it happens often when traders TP after a few pips of quick profit. One of the biggest mistakes is setting a stop tight and a TP too far away.

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Only profitable is if your win rate compensates your losses. Basically, on your example with a S/L & T/P in place throughout the trade you’ll need c.two winning trades to one loss. I would suggest that’s not a profitable strategy.

What would be possible is to cut losing trades immediately they fail to start, but let winning trades run. You’ll could make profits on a c.20% win ratio if you knew what you are doing.

Suitable for scalping 1 & 5 minute charts with zero spread.

Note: However, the Milton Friedman’s economic principle that “there is no such thing as a free lunch” also applies to the Forex market, and especially to Zero Spread Accounts.

Traders therefore need to examine commission, fees, and tactics employed by the broker that may provide them with the opportunity to make money from their clients.

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You are quite right about setting stop loss too far but the problem I am having is that resistance is close to the trades and won’t give the trade space for good RR which makes makes me close the trades soon enough

You are quite right about setting stop loss too far but the problem I am having is that resistance is close to the trades and won’t give the trade space for good RR which makes makes me close the trades soon enough

Making winners run is quite difficult because resistance is in the front… Thanks

You could also wait to see if the resistance is broken through, which then becomes a support level. IMO, that happens frequently in a trending market. Use a SMA 50 (and/or SMA 30) as a guide.

If you are trading into the near resistance, I would say it is a good reason to abandon the trade and wait for better structure.

Overall R:R ratio os just a one side of the coin, on the other you have your expected win probability. For manual/discretionary trading this is hard to estimate.

If you insist in taking trades into the resistance you may experiment with opening just a part of position and second after breaking through. This way you can try to benefit from volatility after breaking a level and you risk less of capital on first trade.

Depends on your win rate. Overall success will be dictated by RR and strike rate. If both are low then no. So using your 0.6R example you will need a 63% win rate to make a profit