I am new to babypips even if I am lurking since months now. I finished the school of pipsology and started a new demo account few weeks ago.
I work full time and I want to trade on forex to have extra income, while gaining experience and maybe one day making this as my full time job. But it will be a long journey and I reckon that I still have a lot to learn.
But I also need something to start with, I’ve read almost all threads about forex systems here and I’ve chosen 3 ducks setup rules for a couple of reasons (traded since 10 years, can fit my lifestyle that leads me towards a more “swing” trader than day trader, etc).
Now, I have a question, maybe stupid, but I hope someone more experienced than me can answer.
Captain Currency’s pdf says that SL and TP levels are subjective, and I get that, but I would like to know from you which method do you use and why: do you set 30 pips as suggested? By doing that I got stopped out a lot of times on short positions (I live in EUR and trade EURUSD and EURJPY for now), even if the price was still down SMA60 on 4 hours and 1 hour charts. I am trying to change SL from now to above previous high on 1hour chart and see how it goes, but I’ve read about other people looking at ATR to find possible stop losses.
What do you think? What kind of strategy do you use and why? I am really curious and I want to learn what is the best way to approach this area… It’s crucial for me as it’s obviously related to RR and it can really make a difference.