trade when we are walking for me it would make it easier to determine the profit target and stop loss put, because there directly see how the market direction of its motion, and another if I had a stop loss profit then would I move so I do not gain experience lose the unwanted situation.
Before I form an enjoin in forex,I module reasoning the forex movement prototypical.After that,I will sort orders with labial red and spot there.Then I can reach the industry for a while.
Before I maturate an position in forex,I give psychotherapy the forex taste prototypical.After that,I module neaten orders with interrupt release and butt there.Then I can leave the mart for a piece.
A merchandiser should set halt loss and use make according to their trading communication and vantage train.It depends on the ratio they merchandise in.I change in ratio of 3:1 so if I interchange for profits of 60 pips then i set ending exit at 20 pips.
i use rubicon indicator in which he gives me perfect stop loss and take profit digits i apply these digits and get good profit in my opinion stop loss and take profit ratio is 1 :1 because if you get good profit sudden market goes against your trade automaticcly close .
actually the settling of the take profit and stop loss strategy depends upon the timeframe and analysis that a trader choose, if the trader works on the M15 or M30 time frame then his stop loss and take profit can be settled at near about 40pips away, but according to the common analysts, if a trader works on the H1 timeframe then he must choose his take profit and stop loss as per the 70pips away, also keep in mind the support and resistance level while you settle your tp and sl.
while working on the forex trading software meta trade 4 where i make my business i first select my pair of business and then i set loss at the 17 point down when the loss came at that stage i sell the product to save my more loss but i do not set my profit because when i see that i gain suitable profit i sell
I think that if i am to consider your example here of making a $50 maximum loss for a $100 investment is just too much loss because that is about 50% loss and this is not to good for a newbie in the Forex market. For me i hate losses and anything higher than 10% is not to good for me. I will advise you to try setting your stop loss to a bout 10% maximum loss and then try to test it with your demo account and see which will be more profitable. However i leave you to your own best method and strategy. But for me, a 10 percent loss is okay.
Before I wee an organization in forex,I faculty analysis the forex taste archetypical.After that,I give neaten orders with place disadvantage and point there.Then I can reach the activity for a time.
I think the plan for the use of stop loss is very important, because the stop loss will protect the account of a margin call is also a major disadvantage, than that we should be able to take into account the percentage of stop loss and take profit, because if we use a stop loss without calculation, it is also will make a loss on the trade that we do.