Friday, March 24, 2017

Forex BTB Signal Service on 16th June 2016

June 17, 2016 by  
Filed under Forex FAQ & Latest Post


In this post, I am going to share with you guys an email that I have received from one of my students as well as user of my BTB signal service

In fact, when I see this email, I am very happy that my student has adopted one of my philosophy of trading which is to protect the account/profit rather than focus on making more profits.

Below is an email that I have received yesterday regarding a trade that I had taken for the trade copier service.

17th june testimonial

Disclaimer: Results may vary for each individual

My student has suggested that I should move my stop loss to 25 pips when the price has hit 65 pips profits so that the trade will still be profitable even when the price reverses which is exactly what happen after that.

forex trade 17th June 2016

(click on the image to enlarge it)

This is something that I will always do in my trading and this is what I always recommend my students to do in their trading

I will always move the stop loss to breakeven first and if I am looking for big profit move, I will then shift the stop loss to 20 or 25 pips profit stop loss just in case the price reverses. However I went out for a hair cut and some shopping shortly after I set the trade to breakeven stop loss and by the time I finish my hair cut and look at the chart, the price has already reverses to hit my breakeven stop loss. Whenever I enter a trade, I will only leave the computer when I set the stop loss to breakeven so that my account are well protected.

From his email, I can see that he had understood the importance of shifting stop loss to breakeven and eventually to profits. This is to me an improvement in his trading mentality and this is in fact the mentality that all of you must have in order to become a profitable trader.

Most new traders are only interested in the profits but are not concerned about protecting their trading account. That is why most new trader got their account wiped out in trading as they never took the effort to protect their account.

They are afraid that the price will hit their breakeven stop loss and move in their targeted direction after that.

In addition, it is very important for you guys to trade with good risk reward as this will ensure that you stay profitable every month in trading.

17th June 2016 2

(click on the image to enlarge it)

Can you see from the screenshot above, there are 2 breakeven trades, 2 winning trades and 1 losing trade.

The amount we win is always more than double the amount we lost and this is the power of risk reward ratio. Even if I had 1 win and 1 lose, I am still making profits.

So I really hope that you can now trade with the right mentality and will only be trading strategies with at least 1:2 risk reward ratio.

Wish all of you guys have a good weekend ahead!

 

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