MightyOne wrote:scratty wrote:Im think there are two ways for Risk control with scaling in:
1. Risk stays at the same level (needs stop adjustements after adding)
2. Total Risk is calculated for the hole position (4Units) and the first two entries are just 1/2 Position (no Stop addustements needed)
MO: You told us many times to not move sl. Can i assume that this means the risk control method is more like the 2. mentioned?
Thanks for all your help!
As I told PRO, you want your average risk to be 0.9% per day.
4.5% / 5 days = 0.9%
If you have a $1,000 account then your max risk would then be $45 for the WHOLE WEEK (kind of hard to use all $45).
If your entry strategy is 5,000 + 5,000 + 10,000 then:
With trade one it doesn't matter if you are immediately wrong on a few trades as you have 90 pips to work with.
Trade two you have 45 pips + your cushion of profit.
Trade three you are working with 22.5 pips + your cushion of profit (which should be reasonably large
The number of pips that you have to work with drops as you lose (of course).
The most you can lose is 4.5% but every 100 pips you gain you make 20% or 4+ weeks worth of losses.
The only thing that can stop you is losing your own money.
Don't stress about losing profits...it is for a good cause
He who is faithful with little shall be entrusted with much -Bible
I feel so dumb right now