Manage your capital closely

Markets can fluctuate very quickly, and profit orders turn to a loss in just a few minutes, making capital management difficult. One of the top rules in trading is to protect your profits - even if it's just a "stop-loss" (move your stop loss to profit) of about 15 pips. For some people, 15 pips are how, however, if you win 10 orders of 15 pips, it becomes a big number, 150 pips. This approach sometimes makes you think of trading as an old lady to save money, but the most important thing in trading is to minimize losses, in addition to trading money as often as possible.

One more thing is that this is your money. Although it is possible that it is money that you are willing to accept losses, also known as risk capital, you also need to protect it closely. Like a soldier who must protect his life when going to battle.

There are two easy ways to prevent profit orders from turning into loss orders, that is

Slowly pull up the stop loss (Trailing Stop)

Pulling your stop loss up is an effective way to lock in profits. The way to do this is to set a short-term profit-taking goal. For example, your "short-term take profit target" is 15 pips, when the price has gone 15 pips in the right direction, you immediately move your stop loss to the breakeven point. If the price turns around and touches your stop loss, accept it as if you have closed your breakeven without any loss. However, if the price continues to go in the right direction, for every 5 pips price move you will push your stop loss 5 pips until the price hits your real take profit. Or if the price turns back, you already have a profit lock behind you
  • When moving your stop loss to breakeven, remember to include the spread and commission payable, which means you will move up to a profit of about 1-2 pips, not to immediately break even.
  • Moving your stop loss to a profit level of 1-2 pips also makes your report more ... more positive, because if the price turns to hit stop loss, in fact, the account still has a little profit, creating comfortable psychology. more roof.
  • This Trailing Stop can be automatically used according to the Trailing Stop on Metatrader 4 available. If you want to trail more complicated, you can write Expert Advisor to do it automatically.
Trade more than 1 unit (0.02 or 0.2 or more)

This way you should trade with more than 1 minimum unit, for example, the broker allows you to trade at least 0.01, you should trade from 0.02 or more. By doing so, you will likely have 2 different profit milestones on your order. The first profit milestone is located near, 15 - 20 pips away, and the second profit milestone is further, with a large reward to risk ratio. Once the close profit mark is reached, you can take part of the order to lock in the profit first, the rest will be moved to the breakeven zone.
  • If you want to trade 0.2, then trade 2 orders with 0.1. The first order usually closes in the area with the profit/risk ratio is 1: 1 (ie SL 15 pips, TP 15 pips for the first order). After finishing the first order, move the next order to breakeven and start dragging with Trailing Stop.

The number 15 pips above are just an example. Depending on the trading style, time frame, and trading method, you can choose the appropriate number of pips. Order management is more of an art than a science, which means it depends a lot on personal style. A successful trader is someone who accumulates pips one by one until it becomes a big number