Take Profit: 25 pips. This is meant to be flexible. 1st take profit level can also be set on the nearest trend line or resistance level.
- Stop Loss: 35 pips. This is meant to be flexible. There can be other types of considerations:
- putting the stop loss 5 pips below the nearest Support Level for long position or 5 pips above the nearest Resistance Level for short position.
- Or 10 pips below or above previous day‘s high or low.
- Or 10 pips above/below the first Parabolic SAR spot appeared over/below the price candles for short/long trades.
- Remember to modify the open position plan if we choose the other data as our new stop loss – the 35 pips gap shouldn‘t be expanded too much.
- Maximum risk: 2%.