Many times I have been asked from several people about the way I trade and the way I decide on some entry points and exit points, the way I choose my stop loss and profit targets, etc. To all of them, I wish to answer that it all depends on the time and priority of my decisions. There is no hard and fast rules to my way of trading.
When I trade #Forex instruments using the most trusted, my own brainchild “The BPL/BPS strategy” (you may find it here: http://wp.me/p1Zsuc-1k ), I know that the risk is limited to the reward that I am expecting. And, when I trade other instruments like the $SI_F and $GC_F (Silver and Gold) the risk is quite significantly high and the reward is quite satisfactorily too. If I am not satisfied, then I don’t take the risk. If I am satisfied, I just pull out.
Its the matter of comfort that decides what is best. Trust me when I say, some times we have to risk appropriately more to get it correct as anticipated (eg. the $SI_F and $GC_F I was short as in here : http://wp.me/p1Zsuc-V ) and many other times we need not risk much (eg. as discussed in this post: http://wp.me/p1Zsuc-1k )
The thing to understand here is that every time I trade, it depends on the instruments I am trading that defines my risk and reward profile. Its as simple as this. Can $ZC_F (Corn) be used for jewellery? and can $SI_F (Silver coins) be used for food/petrol, nope, right? This correct correlation matching is what is the “ART OF TRADING”, and trust me its not tough.
My dad says, perseverance is the key to success. Remember, there are many locks out there ($SI_F, $GC_F, $HG_F, $CL_F, $ES_F, $NG_F, $ZC_F, $ZW_F, $EURUSD, $USDCAD, $GBPUSD, $USDCHF) and to open them you don’t need different set of keys, its just the level of perseverance that matters.
God bless. Ciao.