DislikedIf this hapens to you often, you are very good but short on Lady Luck's Favours ! Why not put in a TP at 60 - 80 pips ? When the pips are safely in your pocket, you can enter the same trade again ! Taking a wine-bottle to Lady Luck won't do any harm !
Hope my 2-cents worth will help !Ignored
- We'd rather a position die at break even then taking profit before the major (or minor, if you must) lines. In the case of EUR/USD, that would mean 1.35, 1.40, 1.45, and 1.50.
-60-80 pips in the bag sounds nice, but what if that position goes on to fulfill it's weekly momentum (per this method) and nets you 500-1000 pips? Nomask has already stated that with a .02% risk per trade, one run of 1000 pips added 20% to his starting capital. That's .02, not 2%. If it were 2%, that same position would have added 200% to his capital when he cashed it out. (Note: I'm not suggesting this amount of risk)
-Back to the 60-80 pips example: If you cash out at 60 pips and then reenter, then you have a GREATER CHANCE that your position will die at breakeven on the retrace. This is exactly what we're trying to avoid.
-To summarize, get an entry in at low risk (5-10 pips SL) on the 5 minute chart and let it run awhile, move it to break even and then forget about it. If it runs for 1000 pips toward the intended direction, then cash it out if you want.
I'm not trying to be argumentative or abrasive toward you (or Tania), but this is the entire point of Nomask's methodology. To talk about signals or "when to take profit" are conflicting with the original poster's method. If there is anything we are "supposed" to get from this method (or Graeme's) it's that multiple position on the "long term" will net you many more pips for much less risk. Did you think a risk:return of 1:200 was possible? It is with the ideas from this thread. I invite you to check out the Equity Millipede thread, as well, of which Nomask was a great contributor. Graeme has multiple positions riding long term (monthly) trends and they net him thousands of net new pips PER WEEK. Nomask (and Graeme) show what can be accomplished by looking at the "big picture".
I hope this clears some things up. I wish you all the best in your trading.