Control how much you lose when you lose
By Online Guru Trader | Blog
Did a trade on AUD/NZD on 11th September and it was sent out to my free members group in telegram and also to my paid members.
And 8 days later reached profit target with a profit of over 100 pips.
We all know we will have winning trades and losing trades.
And we also know that whenever we trade, we cannot control whether we will have winning trades or losing trades.
But we can control how much we lose (when we lose) by putting in place stop loss to limit (control) our losses.
If a trader can make sure that when he loses, his loss is $1 and when he wins, he profits $2.
Then even if he loses 6 trades out of 10 trades and wins only 4 trades, he will still be overall profitable.
For those who wants free trade signals on US stocks and forex, please feel free to join my free telegram channel @ https://t.me/ogtupdates
where I share my trades and analysis there.