Profit taking vs Stop loss Probability

[ProfiForex_Victory]

Profit/Loss, 3:1 ration is sustainable. Since loss is inevitable in forex, it is realistic. My suggestion would be to learn proper analysis for bigger trades. Some traders might trade not more than three times in a week, but grab more pips than those who trade multiple times each day.

 

[Alpha Trader]

Is a 2 to 1: risk to profit ratio good enough?

At a minimum, I will only enter a trade where I think I can get a 4:1 ratio. Occasionally, you may be able to pick trades that give you a 10:1, but these setups come less frequently. However, when they do come, you can pile the volume on as they can be very rewarding.

 

[dom993]

Hi! Would like some comments on my recent poor trading results.

I like to play the reversals. When I think it's reversing I'll go against the trend.
I generally do well before 12 p.m. And hardly do well after that.

Summary: I'm not taking 1 or 2 dollar winners and taking 1 dollar losses. Sounds like a problem? Cause not all reversals go back 50 - 100%.

Problem:

I'm not taking 1 or 2 dollar winners, instead letting them reverse. I keep thinking I'd get more, like 3-4 dollar wins. All week I've gotten 2 of these.
I am taking 1 dollar stop losses. I've been taking a beating, always getting the position reversed on me.

What should my profit vs stop loss be? I've heard people use 3:1 ratios?

How many actual reversals per day, vs how many actual pullbacks before another leg of the existing trend?

If you want to trade reversals, you'd better get a lot of stats on where when & how they appear ...

 

[Alpha Trader]

If you want to trade reversals, you'd better get a lot of stats on where when & how they appear ...

Ditto that. Going against the grid only serves to make life difficult.

If you are day trading, conserving mental energy is one small, but an integral component, for optimal performance.