Disliked{quote} Because this thread is about the R2R R:R just thought I'd point out a 10pip SL wont work with this system unless perhaps you have a 1000:1 leveraged account. Minimum SL without getting a margin call is around 20pips and that's on a 500:1 account.Ignored
Example with Armada Markets:
Starting balance 50$.
Leverage 1:500.
Stop out level 30% (Margin call is not important because it's just a warning).
Choose any usd/xxx pair (or eur/xxx pair if your balance in euro), for example, usd/jpy. The value of 1 pip with 1 standart lot now is around 9,8$.
We have to risk 25$ with 10 pips SL, so our lot size in the first trade will be 25/10/9,8=0,255 so round to 0,25.
Margin required: 25000/500=50$. Commisions = 1$ per round. Margin level at the opening : ((50-1)/50)*100%=98,0%.
So SL will cut the trade before stop out appears.
Let's go with the flow