Is Your Profit a Good Profit?
You are in an open trade that is in profit and you want to realize your profit and exit the trade. What level do you take your profits? How many pips?
Most traders think of their profit in absolute terms, but it is always relative to the risk you took to get that profit.
To complete your solid risk management plan, we help you figure out what’s a good profit and how to measure that against the risk you took. We introduce you to an important tool in a trader’s arsenal: the reward/risk ratio, or what is often known as “units of risk”.