I understand about setting risk at 3-5% every trade, so I really want know about the profit. you know sometimes after profit floating 1 % then the price move back and after that the price hit stop loss, sometimes after profit floating 2 % then price move back and after that the price hit stop loss. the question .. is every trade I have to make a target minimum 3-5%? …what about if profit target based on support line or resistance line , is it good? … can you explained more detailed about profit target?… can you give me the best methode of target profit? … I really want to know the answer …thanks
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November 28th, 2008 at 7:33 am
My opinion,
You should have a target profit 200% of your risk. So, if you even hit stop lost once, you will recover the equity very quick.
Therefore, to do above profit target, you should have a proven track trading method, manual or automatic. Despite of that, on proven profitable method, you could only win with probability of maximum 70%. So, every 10 trades, you will win 7 and lose 3.
Treat your loses as your expenditory in your business, like paying your electricity bill or employee fee in the real business. Open your heart and mind and treat trading forex as a business.
So, happy hunting for the real proven forex trading method.
Happy trading,
Ali Azhar
http://automaticforextrading.blogspot.com