I know that most probably it has been covered somehow in the past but I wanted to post it on my own words.
Should I decide to scalp - 20pips let's say - would it still be right placing a stop at 10 pips only..?
The way I am trying to understand this is that if you enter a trade after some studying & watching... and if it goes over 10 pips against you that means you got it totally wrong (?!) so why should one place it at 20 pips on a 1:1 ratio?
Thanks.
Should I decide to scalp - 20pips let's say - would it still be right placing a stop at 10 pips only..?
The way I am trying to understand this is that if you enter a trade after some studying & watching... and if it goes over 10 pips against you that means you got it totally wrong (?!) so why should one place it at 20 pips on a 1:1 ratio?
Thanks.