more on the trade? Let them get hit if theres no price action based reason not to move them; let your pre-planned profit target play out, then patiently wait for the next trade. I would appreciate some advice or tips on how to and when to enter a market and when to exit. This means if the price broke out of the 90 day range by way of gaping up I will want to see a second gap day prior to my entry. I wont repeat all those trading tenets here, but if youve missed some of my articles, drop me an email and I can attach some of them in an email to you. You need to be flexible but not emotional with your exits. Profit targets, perhaps one of the most common mistakes that traders make in exiting their trades is moving their initial target further away only because they think the trade will keep going in their favor. Also in your trading plan you can have a few scenarios that could occur and what you would do if they did occur. Heres a perfect example of an extended trading range breakout followed by a gap immediately prior to entry. Notice I wait for the gap and then enter a market order immediately after the opening gap. The question you have to answer about profit targets is are you moving your targets around or exiting manually based on emotion (greed or fear or is it based on what the actual price action is doing on the chart?
Your Stop Loss Order.05 Cents Below The Low Made On Entry Day. Anyone who has basic experience day trading will tell you that one of the biggest challenges for most traders is finding stocks and other markets that are moving with sufficient momentum and volatility to make day trading worthwhile. When you think about exiting a trade, the first thing that comes to your mind is probably not a stop loss getting a hit for a pre-calculated loss that you knew had about a 40 to 60 potential of taking place. Closing a trade only because it has gone against you a little bit is not a good enough reason to close it outwe need to give our edge (trading strategy) time to play out if theres no logic / price action-based reason to close. However, there are exceptions to this rule, because the markets are dynamic and constantly changingso we cannot afford to be 100 rigid in our approach to trading. First of all, if you are in a trade, you should already have a general plan of action in place, including potential entry and exit points, before you entered the trade. Read the rest at: many ways to trade any market, many ways to lose money in any market and only very few ways to lock in gains. How About Another Example, if you were paying attention a few minutes ago you might have noticed that I forex mt4 ea automated trading system said that the first or the initial breakout outside the trading range does not have to be a gap but can be an extended range day.