Currency Trading Secrets To Increase Your Profits

On August 30, 2010 in Uncategorized

By Triad Trading Formula

Naturally, all traders know that you should set a limit order or at least include a nice profit target or closing signal in your scheme and keep to it. It is important not to keep a winning trade open until the moment ‘feels right’. Either you are aiming towards a certain number of pips or you are waiting for something like an overbought or oversold signal and then close immediately. First option, if your stop was originally 20 pips out from your opening position, it now moves to twenty pips from the price at which you just closed 1/2 the order. So if the trend now turns on you, you’ll have a decent profit on the first half of your trade and break even on the second half. Third option, the stop moves to half way between the opening price and the prevailing price . Of course you don’t want to move it so close to the current price that it is caused too quickly.

Similarly, never be tempted to apply this technique to a loss-making trade. Foreign exchange strategies should maximise your profits, not your losses! .

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