For traders, learning risk/reward ratio in trading is worth your time and essential for trading success. In daily live, we unconsciously weight risk before we do anything, including buying something, quitting your job or even putting your hand on hot stove. However when it comes to trading, traders are often careless about this.
If you have [...]
Posts Tagged ‘Stops’
Consider Risk/Reward Ratio in Trading
Posted by Taro on May 14th, 2010
How to Place stop loss for short-term trading?
Posted by Taro on May 13th, 2010
The very first question traders should ask themselves before enter a trade is “Where is my stop loss point?” Find your stop loss and evaluate your risk. If the stop is too far away from the entry point or it is further from the entry than the target point, do not enter the trade!
There are [...]
Posted in Technical Analysis 
Tags: Money Management, Stops, Technical Analysis, Trading System 
No Comments »Secret of Setting Exits in Trading
Posted by Taro on November 15th, 2009
Whenever traders enter a trade, they must have 3 factors clear in their mind; where to get in, where to take profits, and where to cut and run if market turns against them.
The secret of exiting a trade for professionals is to plan their exits. Before entering a trade, professionals set their specific target and [...]
Posted in Technical Analysis Tags: Money Management, Stops, Technical Analysis, Trading System No Comments »How to Place Stops using the SafeZone?
Posted by Taro on November 3rd, 2009
Where traders should put their stops? This is one of the hardest questions in technical analysis. Stops have to tight enough to protect capital and also have to distant enough to keep clear of meaningless swing.
If look at trading in engineering point of view, the concept of signal and noise in engineering can be applied [...]
Posted in Technical Analysis Tags: Money Management, Stops, Technical Analysis, Trading System No Comments »
