Hi there
I use the ATR - I have only recently come to this although if you use the ATR you can then calculate the £ per pip which is then proportionate to the symbol you are trading. TP = ATR and SL = ATR * 1.5.
I cannot take credit for this - this comes from a No Nonsense Forex - which has some really useful guidance on risk management (for me anyway).
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In my opinion reduce your lot size to reduce big stop loss.
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Plan your trades like you normally do, define entry, SL and TP. Then place your entry order where you defined your SL, and place your new SL… elsewhere 
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Trade only the daily charts or 4 hour. Use no stop or a wider S/l and smaller position size. If you are trading the 1 and 4 hour charts you’re going head to head with the pro bank traders who know where the stops are located and will squeeze/shake you out. of the trade. Pay more attention to your entry price. Get it right. This means exercising patience. Remember the price will always go higher/lower than you think it will–so wait a bit longer than you normally would and you’ll get a better entry.
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Remember that this is for D1 timeframe… is not for lower timeframes, since ATR for lower timeframes has much lower values, so it can take you out very fast!
Good topic , some great info. Learnt from it.
Cheers
It looks like you’re messing up with the time frames. If you use the daily/ 4h, then you only identify the direction, major support and resistance on the daily and then move on to the 4h. Every other analysis; Entry, Tp, SL, Trail, are taken on the 4h.
Your choice of time frame would require larger TPs, which could cause emotional problems and also, if you’re unfamiliar with the movements of the hourly, can take you out prematurely. Why don’t you try 4h/ 1h instead?
As for your image, Try this:
- Measure that last move before your arrow.
- Then project it on the start of the next move; where the arrow starts.
- Next, look left if there’s structure. If it’s from a higher time frame, choose that as tp, if it’s from the time frame you’re analyzing, choose the end of the projection. The distances should be roughly equal.
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Nothing. By placing wide TP you lower winning ratio (more losing trades than winning), but profit per trade increases. It happens because probability of winning per trade decreases and as we know payout increases as its probability decreases. Long-run results will reveal this peculiarities they can’t be seen after 20 or 30 trades.
There is only one way to set decently a SL/TP . Trow in the towel S/R and Find a good level using the VOLATILITY
lol… sad… who told u that?!
market can give u 10 or 100 pips in a matter of mints, hrs etc… it all depends on conditions, time of day, news etc…i watch my trades, see if weakness comes in, maybe it s time to reduce risk in half, or move stop to BE, or maybe the conditions are just right to add another position…know ahead of time where ur setup fails(no longer valid) and manage accordingly, imo that s the way to go. having set tp and stop seems foolish to me, cos what if ur there in front of the screen, seeing the price losing steam? or better yet makes a climactic move just to change direction? u could manage trade and lose less or move BE etc… with set stoploss, ur screwed… again, that s just me, doesn t mean i m right
i just read thro the answers after i wrote my post lol, should ve done it before, cos i wouldn t have wrote…it s a mess, million answers and opinions, not saying some1 s wrong, just saying that u dunno which way to go, what to choose, what s best etc. do the babypips school if u haven t already, ready some books, think of what u like to trade(are u a patient person? if so, go for higher tfs, if not then maybe 1hr and down would be more interesting etc). after u find that out come here and ask again knowing what u want to trade and how, cos there s different sides to the story, meaning what i trade on 5m i can trade on daily 2, but not all know that and so on, i didn t also till some1 more experienced told me, so…know first what u want to trae and then ask the guys and girls here, atleast they ll know how to help u out and where to send u. cheers and good luck bud
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Thanks for the advice, but I take my entries on the 1hr or 4hr. Works for me
Hello Grimalkin, i really love your contribution and wish to learn from you.
I do that a lot too