How to scale into the impulsive phrase of the market condition? Hello everyone:
I want to go over an important topic of scaling into the market. This is something more advanced in my opinion, and should be used cautiously when applicable.
First you will need to understand that it's important to fully accept the risk when you try to scale in a trade.
Essentially you are doubling down on a trade when you do so. What is your risk management when it comes to scaling in ?
Second thing to watch out for is managing your first initial position.
I would generally move my SL to at least BE or in 1:1 profit. This way even if the second trade that I scale in end up to be a lost, I am BE overall on the two trades.
Third point to remember is before you scale in the trade, is there enough R:R to justify it?
No random entries just because there is a continuation correction on the 5 min chart as an example.
Some price action must be present and give you enough confidence that the price is likely to continue from a structure, and then look to scale in the trade.
Any questions or comments please let me know :)
Thank you
Scaleing
Sugar Weekly Outlook ( New Trend ) Looking for long term trading this is a chart that can show the opportunity of making a trade with a Risk/Reward Ratio of 4.2 ! For every dollar of risk you can make 4.2 dollars. The target profit is at that level because it is the level 0.618 of the downtrend that can retrace back to that point plus showing a higher high with the new formed trend( the bullish trend )
USDJPYMorning traders!
1H Chart
Have a great setup here with the possibility of multiple long positions.
With a current target of (4) breaking back into the wedge confirming (5)'s target, This is a great opportunity for PRO or Ameture traders looking to make a profit.
My tolerance for risk is sitting at about 85% upwards if my targets are reached.
Note: This setup has a 90% success rate. Thus i will be scaling my positions with my risk tolerance increasing with every position heading towards (5).