Trade Management

Beginner Questions
1

Do you manage your trades actively, such as taking partial profits, cutting losses short or do you simply let your take profit (TP) and stop loss (SL) orders get hit without management?

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2

It depends on my set-up.

It makes little sense for me to let one of my counter-trend reaction trades run. These are short-term pull-backjs in trends signalled by a serious pull-back from a surge or an extreme in a trend - the profits will be potentially dramatic but a pull-back against a trend is inherently short-term. I don’t take the option of tightening the SL but such wouldn’t be crazy.

But if the trade is trend-following, then I prefer to pyramid the position with additional trades in the trend direction. There is little sense in using a TP to get out of a position in a trend which continues to advance. If the account is under-capitalised or I am overall in the red I then generally advance the SL when the pyramid trade is triggered: otherwise I tend to leave it way back where it was set for the original trade.

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3

Actually, it’s not fixed because not always the situation is same but I try to follow proper trade management in my trading. But things get messy sometimes and my trades becomes haphazard especially I suffer consistent losses.

4

I know forex traders who trade funds, they can make 10% per trade, I do know they have both systematic (fixed entries and exits), hybrid (fixed entries and variable exits), and discretionary (variable), but unit sizes change based on market conditions, the more variable the smaller exposure, the markets can switch between those methods at will which is why most people lose, but variable can generate higher profits which offsets the smaller unit size.

5

It is not always the same thing but if I have the time I will mange it myself.

6

I prefer to manage my trades actively.

While setting take profit (TP) and stop loss (SL) orders is important, I don’t just let them run their course without intervention.

Markets can be unpredictable, so adjusting trades based on prevailing market conditions helps me stay in control and adapt to what is happening.

It’s a little more work, but I think it’s worth it to stay on top of the profit curve.

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7

Yes i agree with that

8

Which is why entries don’t matter. A 1:1 random entry strategy wins 50% of the time for breakeven. 90% of retail traders can’t even achieve those returns.

9

If you have a proper trading strategy then you don’t really need to ‘manage’ your trades now, do ya?
Take-profit and stop-loss should do the rest. Unless!!! Unexpedcted news happen. Got to watch out for those. Otherwise that’s it! A proper trading strategy with reasonable R ratio and TP and SL.

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10

This depends on your Entry strategy. With my Entry strategy sometimes price pulls back to retest the Entry Level after which it moves to my target. Therefore, if I was to close the trade because it became negative, I would not be able to make a profit. I usually have a target which I will wait to be hit. However, if you are expecting a huge move then you can trail your stop loss and maybe close the trade early when it achieves the “correct” number of pips. All in all its all a matter of trying to achieve good risk management.