DislikedLet's see how that works. Trader A and trader B are both excellent traders, both reading the charts and fundamentals the same way. Both buy the euro at 1.30 with a long term target of 1.40. When the euro hits 1.36 they both think it will first go down to 1.33 before finally reaching 1.40.
Trader A. Buy 1.30. When price gets to 1.36 nedges by opening a sell position which he then closes at 1.33 (= 300 pips gain). The main long position is closed at 1.40 (= 1000 pips gained). Total 1300.
Trader B. Buy 1.30. When price gets to 1.36 and correction...Ignored