GBP/USD came back and hit my stoploss, forcing me out of the trade for a loss of 177 pips on each of my three legs. That may sound like quite a large loss, but I size my positions such that the total amount that I'm risking (for all three legs) is about 1.5% of my total equity. One of these days, I'll post about my position sizing and money management.
In retrospect, I question whether I should have moved my stop to break-even after the first day closed near my first profit target. They say "never let a winning trade turn into a loser," and I definitely think that that's a good rule to live by. My practice has been to move my stoploss on all of my position to break-even as soon as the first profit target is hit. In this particular case, it would have been beneficial to do so earlier.
Be the first to rate this post
- Currently 0/5 Stars.
- 1
- 2
- 3
- 4
- 5