Average pips per day discussion - Saviola
what i do is i take the avereage daily ranges for the currency pairs im trading in over the last 5 days (i update it everyday), and aim for 10% of that as my first target and double that for my second target and let my 3 lot run (i trade 3 lots usually) for every trade i take. For example first target 10pips ,second 20pips ,third run.
I find this gives me a target to aim for and if the move is really good i go along for the ride.
yes i do use stop losses. what i do is if i enter a trade on a 60 minute chart ill manage my trade using the 20 min chart or enter a trade based on 30 min chart i manage the trade on the 10 min chart, ie a 3 to 1 basis.
For example if i go short ill place my stop at 1pip above the high of the previous 20min bar moving my stop with every new 20min bar that forms. I do this until my trade hits my first target ie 10pips than i move my stop to break even. Once my stop is at breakeven and the trade really goes my way ill than trail my stop on 1pip above the the high of the 60min bars or candles ( so if i entered a 1.2100 and it goes to 1.2000 but the previous 60min bar closed with a high at 1.2050 ill put my stop 1 pip above that figure) .
if the trade goes against me my loss is therefore very limited.
http://www.trade2win.com/boards/showthread.php?t=11074&page=2&pp=10