Risk Management Techniques

I have been using the MM technique of taking out some profit everytime i reach 1R. But lately, i have wondered if it has been a good idea.
So is taking profit at 1R a good idea?

1. Capital Protection Technique
   Size : 2lot
   Stop : -100
   Trade Risk : $2000
   
   At +100, take out 1lot. No movement of stop. Guarantees BE.
   At +150, move stop to 0. Guarantees 0.5R
   At +200, moves stop to +100. Guarantees 1R.
   At +300, moves stop to +200. Guarantess 1.5R
   At +400, moves stop to +300. Guarantess 2R
   At +500, moves stop to +400. Guarantess 2.5R
   
   Note that this is purely hypethethical, i usually plan stops to be a little above previous week high. (since i trade daily/4hr bars) Yeap my stops are huge.
   
   What I'm getting at is i usually try to target a 0.5R appreciation for every level met in this kind of MM.
2. Aggresive Trade Management
   Size : 2Lot
   Stop : -100
   Trade Risk : $2000
   
   At +100 move stop to 0. Guarantees BE. (This level is usually the sucky one)
   At +200 move stop to +100. Guarantees 1R.
   At +250 move stop to +150. Guarantees 1.5R
   At +300 move stop to +200. Guarantees 2R
   At +400 move stop to +300. Guarantees 3R
   At +500 move stop to +400. Guarantees 4R

Pls comment

the article 'why your trading is doomed' by jordan knight explains it well. that is why fund managers trading style differs from an average trader, and that sets the winning edge

gotta link?

anyway, i was just to thinking out loud.

as you can see that both techniques only differ by a fact that the second one guarantees a 0.5R win while the first one guarantees a BE.

Would it have been a good idea to protect a mere 0.5R when you are faced with the possibility of making twice its amount for every R crossed?

regards
jest

looks nice..but i think more save, if you start this when market explode for some direction considerable.


Best Regards,
Marcelo Marques

I shared how I manage risk http://www.forexfactory.com/showthre...ze#post1768822

I know it is much more modest to set your stop at a recent low. This would mean that every trade is different.

Also, because the value per pip changes on currency pairs where USD is not the quote from day to day.