Reply To: When to exit?
Hi Lewis,
Exit decisions are certainly something that can get you tangled up in knots when you start over analysing :). But remember, no one knows for sure what’s going to happen next – and you don’t need to know in order to make money across a series of trades!
I’d try to trust your original target as much as possible and trail in the stop loss.
One thing you can do is scatter multiple exit points around your target price which can help reduce the emotional pain of a missed fill on the entire position. So if you were trading at 50p per pip you might have your exit orders positioned in such a way they scale you out in 10p lots. You might have them spaced 0.3 pips apart just under/around your ideal exit price.
It can be easier to handle emotionally if you go out on the trailing stop for the last 2/5 of the trade when you’ve already taken profits at the target area on the other 3/5 🙂