no --- the method i use helps to maintain a higher win/loss ratio for the periods when price is range bound. the trade management method i use keeps the "unrealized" losses fresh in your tabulating DOM P&L to monitor and work back to profitability. the only threat you have to the position with an "unrealized" loss is a price action breakout beyond a s/r level --- as long as price stays range bound then you have a high probability of price at some point returning to the levels where you initiated the trade {and this does happen very often}. So if i am working "scalps/position basis improvements" around my position with the "unrealized" loss while i am at the same time holding a hedge for a possible breakout then i am actively managing the potential loss of the underwater position.
it is a psychological play also in my opinion --- once you realize the loss then it is too easy to write that trade off as a loser. when you actively manage an "unrealized" loss then you are more committed to returning the position to profitability ---- you do not let yourself off the hook so easy as to say, "that was a losing trade -- next". No, this way you have to work harder but the return is the reward -- it keeps you fighting to make the position profitable and that is my take on this management style for me.
