{quote} If you ultimately will lose 9% than you might want to set tp at 18%
You must keep the reward to risk ratio at 4 to 1 and not less.
So if you risk 9% on a given TS Order 3 then the gain needs to be a possible 36% when trading in a Triangulated Set format.
TS Order 1 total risk (r) is -3% ... total gain (R) is +12% ... R:r = 4 to 1
TS Order 3 total risk (r) is -9% ... total gain (R) is +36% ... R:r = 4 to 1
TS Order 5 total risk (r) is -15% ... total gain (R) is +60% ... R:r = 4 to 1
Not all traders have the same 'loose' risk tolerance as other traders.
So the risk applied has to be at the individual traders discretion based on his/her own particular personality for risk tolerance.
This is why I always say in FX retail trading never trade with money that you cannot afford to lose!
Having said this, it in no way implies that a trader should lose all care about risk ... not at all.
I would take a guess and say that the majority of traders would perhaps only be willing to risk about 5% on a trading setup of this design.
Often for a single trade the norm in the industry (retail) is to not risk more than 2% on average per trade.
Although this figure is reasonable I would not apply this to my strategy or a similar strategy using an average sized account because depending on the configuration of the TS it is highly unlikely to have every trade get stopped out for maximum loss.
So I apply risk based on many more factors than a simple single value which does not always tell the whole story.
On average I would say that traders are more likely to apply 0.5% per trade on a TS Order 3 (live account) for a total possible loss of 4.5%.
Some traders might start off at lower risk (say 0.25%) and as the number of TS's increases slowly build up to say 1% risk per trade.
There are many ways to play it.
Starting off well under your 'usual' level of risk tolerance is the best approach.
As confidence builds up over time slowly start applying a little bit more risk.
Later traders will learn how to offset some of the risk by applying the right combinations of TS's at the right time.
Traders will also learn how to start with smaller risk initially on a lower Order TS and then add into this TS to create a higher TS.
Masterrmind...............
Master your Mind then Master your Trades
Look at/find out which is 2 of 3 pairs (circle) is has same direction. How i called this - "driver", usually one major pair rise/fall with cross pair relative to another major. Build your LLS/SSL (BBS/SSB) position depends to event like this according to Murray grid levels for each pair async.
