Resolved Question
Usually how much percent of the trades we make can we expect to be winners in a day?
How many trades can we expect to be winners each day on average. In one hour chart.
about 1 year ago
Best Answer - Chosen by Asker
Hi,
Tough question to answer. You should really look at it differently and ask the question in terms of gain/loss (or reward/risk) ratio. Losing is an integral part of forex trading but as long as you win more then you lose, you will be OK. Sounds basic but many traders forget this simple rule and end up with many small gains and only a few big losses that drive them to complete loss.
I have heard of traders closing hundreds of positions with $0.50-$1 gains in a day but it only takes one trade that goes wrong to wipe out all that hard work.
In general, aim for a reward/risk ration of 2:1 or 3:1. This means that your winning trades should be closed 2-3 times higher then your losing trades.
So, plan your trade accordingly. For example, if you aim to gain say $100 on a trade, then put at stop at a level where you would lose only $30-$50 (if you have a higher risk profile, then go for a 3:1 reward/risk ratio).
Hope it helps!
about 1 year ago
Source(s):
Answers (0)
There were no other answers submitted for this question.
Open Questions in Beginner
Resolved Questions in Beginner
- Should I go live? Please give me your advice on this.
- For a newbie, which currency pair do you think is the best to start with?
- Which do you think is better? Daytrading or Position Trading?
- For a newbie like me, is $1000 a good starting deposit in forex?
- I work full time and I'm wondering if signal providers really work. Has anybody had any experience with them?
* You must be logged in to add comments. Sign In or Join Askpips.com.