giovedì 27 febbraio 2014

The Challenge of Letting Winners Run

You know the following situation well: You had a long in EUR/USD at 1.3005 and sold it at 1.3018 only to watch it go to 1.3086 over the next hour. Of course when you try and hold for these type of moves, you give back your 10+ pips plus some additional when your stop gets hit. How do we know when to hold for a larger move? In other words, when do we let our winner run?

The real question you have to consider is this: What is the significance of the price area where you are initiating your trade? Newer traders lack the experience and ability to gather the most relevant information from the market and as a result have no point of Read more [...]

For more info: The Challenge of Letting Winners Run

SMB Capital – Day Trading Blog