Each Trade Plan...Scalling in/out...

Discussion in 'Trading' started by Digs, Nov 27, 2003.

  1. Digs

    Digs

    Just curious, when one takes a trade one is making a stand as to the direction of the market from that point in time on. In the view of trading loss control what methods do you employ...

    Assuming the market moves in you desired direction immediately...

    Trade Protection Methods :
    1) Enter trade wilh say 1000 shares, exit with 500 shares after a short profitable move to pay for risk of the other 500 shares being a looser. You may or may not use a stop loss.
    Thats 500 shares for $0.10c Profit, then any loss on the other 500 shares around $0.10c is paid for. This minimise the loss of the trade.

    2) Enter trade and have a stop loss. And once trade position is profitable move stop loss up to break even position for the full 1000 shares.

    3) Enter trade and have a stop loss. Dont move stop loss.

    4) Enter trade, no stop loss, judgment call on exits.

    5) Other...