TAILIEUCHUNG - Trading in the Zone Master the Market with Confidence Discipline and a Winning Attitude_10

Tham khảo tài liệu 'trading in the zone master the market with confidence discipline and a winning attitude_10', kinh doanh - tiếp thị, quản trị kinh doanh phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | example here s how it works If I get into a position and the market immediately goes against me without giving me at least four tics first I get stopped out of the trade for an 18-tic loss but as I ve indicated this doesn t happen often. More likely the trade goes in my favor by some small amount before becoming a loser. If it goes in my favor by at least four tics I take those four tics on one contract. What I have done is reduce my total risk on the other two contracts by 10 tics. If the market then stops me out of the last two contracts the net loss on the trade is only 8 tics. If I don t get stopped out on the last two contracts and the market moves in my direction I take the next third of the position off at some predetermined profit objective. This is based on some longer time frame support or resistance or on the test of a previous significant high or low. When I take profits on the second third I also move the stop-loss to my original entry point. Now I have a net profit on the trade regardless of what happens to the last third of the position. In other words I now have a risk-free opportunity. I can t emphasize enough nor can the publisher make the words on this page big enough to stress how important it is for you to experience the state of risk-free opportunity. When you set up a situation in which there is risk-free opportunity there s no way to lose unless something extremely unusual happens like a limit up or limit down move through your stop. If under normal circumstances there s no way to lose you get to experience what it really feels like to be in a trade with a relaxed carefree state of mind. To illustrate this point imagine that you are in a winning trade the market made a fairly significant move in your direction but you didn t take any profits because you thought it was going even further. However instead of going further the market trades all the way back to or very close to your original entry point. You panic and as a result liquidate the .

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