Hi Everybody.
When you are unsure of the “larger degree” position, you can consider using the 100% initial risk guideline to help protect open profits. This us covered in the Trading Course, but basically means than once a open traded has exceeded the 100% initial risk level, you move your initial protective stop to break-even.
As you can see, this helped avoid an otherwise -1R loss on the 3min ES yesterday, making this a “break-even” trade.
So I hear you all ask – why dint we use this all the time ? Well, short-term charts often need more “wiggle room” than Daily charts. So when the “larger degree” position is clear I normally suggest not using this guideline. Only use it when you are unsure or against the larger degree trend.
Thanks, Steve
PS, if you want to see how well these markets unfold, then take a look at today’s Advanced Blog, where we see how the 3min NQ unfolded absolutely perfectly as defined by our more Advanced Tools. Being able to nail virtually every high and low throughout the day is amazing, and in MTPredictor you have the tools that can do just that !
When you are unsure of the “larger degree” position, you can consider using the 100% initial risk guideline to help protect open profits. This us covered in the Trading Course, but basically means than once a open traded has exceeded the 100% initial risk level, you move your initial protective stop to break-even.
As you can see, this helped avoid an otherwise -1R loss on the 3min ES yesterday, making this a “break-even” trade.
So I hear you all ask – why dint we use this all the time ? Well, short-term charts often need more “wiggle room” than Daily charts. So when the “larger degree” position is clear I normally suggest not using this guideline. Only use it when you are unsure or against the larger degree trend.
Thanks, Steve
PS, if you want to see how well these markets unfold, then take a look at today’s Advanced Blog, where we see how the 3min NQ unfolded absolutely perfectly as defined by our more Advanced Tools. Being able to nail virtually every high and low throughout the day is amazing, and in MTPredictor you have the tools that can do just that !
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