Gold Spot / U.S. DollarEducation
ATR - A theory on ATR Stop Loss and ATR Take Profits
Jus how to trade on ATR. Using ATR on XAUUSD, the ATR i found has alwasy been retested. So I meight be taking a profit and targeting 2 ATR but i found that price after 2 ATR will just touch and not stay there for long time,, and it will return at original point and start making a loss to stop me out of the position at a loss.
So to counter this, I decided to take profits at every 1++ ATR or 2 ATR. Then within 1-2 candles, the price will U-turn and start to target the ATRSL.
If the price moves fisrt to make a profit then quickly take out the position. But if price immediately going agianst you and targeting the ATRSL, it is better to wait out and not use a stop loss as price will retarget the original SL.
So to counter this, I decided to take profits at every 1++ ATR or 2 ATR. Then within 1-2 candles, the price will U-turn and start to target the ATRSL.
If the price moves fisrt to make a profit then quickly take out the position. But if price immediately going agianst you and targeting the ATRSL, it is better to wait out and not use a stop loss as price will retarget the original SL.
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