No matter how great our strategy, forex trading still depends on "luck". Many people say that we cannot control "luck" in forex trading. In fact, we can increase our chances of achieving our "LUCK" to be higher. Do not believe? Let's read more.
This LUCK is like an opportunity. Let's say two people have to race 100 meters. One has to run and one pedals a bike. Which has a better chance of winning? Of course the person who rides the bike, the faster he arrives. So is forex, so control your "LUCK" by following the correct Money Management.
Proper money management requires proper risk and profit management. For example, after STOP LOSS, how much is lost, and how much is profit if our order has to TAKE PROFIT. The maximum control of lots that we can open is also Money Management (called MM) that we need to follow.
The habit that people learn in forex trading, put the right risk reward. For example, when trading, put the minimum risk reward is 1: 2. The TP example is 2 times that of the SL.
For example, if our SL is 20 pips, our TP will at least need 40 pips. If in 10 times trading. 5 times hit TP and 5 times hit SL, we are still in a profit of 100 pips.
TP 5 x 40pip = 200 pip
SL 5 x 20pip = 100 pips
Profit = 200 pips - 100 pips
Total: +100 pips
