As a new trader I have continuous questions that needn’t to be an answered!
I am sure everyone has had the same questions.
The biggest thing to me isn’t knowing when to close a trade / what time Frame it should be open for…
I feel like there is a fine line between making profit that is worth while and to leaving it for it to get o negative. Any responses would be great!
Yup…thats always the biggest challenge…
One of my strategies involves targeting 50 to 70 Pips within 24 Hours…
The latest example can be seen in the graph and video summary below where this CAD JPY trade took 16 Hours to hit its 65 PIP target…
I discovered that 95% of trades that are going to provide this range of movement usually do so within this time period. If the trade does not reach the target by that time, it is likely to reverse. This is why for this strategy ( I have another that targets 100 Pips in 2 Days) the trade is closed religiously regardless of the floating balance.
The main benefits of this rule are that
It prevents you from being greedy in trying to get from the market more than it can provide within that time period
You can more calmly close your trade with less temptation to check on it.
You are less likely to close trades too early before that time period has ended.
So for the range of pips you want to target these are the steps you should take…
Establish your strategy that tells when is the right time to target those Pips
Research how long it takes to hit that target most of the time.
Stick to that rule all the time.
Dont research just 5 examples. Do it for at least 30 past trades to get a better samples set in order to be more certain about this time period.
Duane
DRFXTRADING
You are looking like a fresh face here; by the way, did you complete BabyPips School already?
No one will be able to Answer this question. You have to develop a trading system. The system includes everything. Now you may ask how to develop a system? That’s the most difficult task in forex trading. It is also the reason most people fail in trading. That’s why you need to study and experiment a lot. It will take time. But there is no other ways.
It’s really true, in my 1st year of trading I was also confused on my trading system, I think it takes time to understand, what type of trader you are actually.
