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May 25, 2022
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How Wendy Kirkland’s Income Accelerator Works

We promised we’d send you this link and wanted to get it to you ASAP. The event was amazing and any delay in you seeing this powerful information could set back your financial timeline.

If you have any questions about Wendy’s strategies we revealed we have set up a number for you to call. Just dial 1-800-268-8936 and we will help you with any questions and make it as easy as possible for you to get the alerts that have the significant wealth generating potential discussed in the webinar.

CLICK HERE: Check out the Paycheck Payout Recording

Again, even though the tips and strategies discussed here are already helping many people boost their trading accounts, they all had questions too. Just give us a ring when you watch the video and we will be glad to help you out.
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TradeWins Author Team

 

 

Tomorrow, you could begin doubling your account every single month starting with one letter.

The letter will come from a 20-year trading professional named Ian Cooper. He says, “In 2022, following my trades you would be doubling even tripling your account some months. Let me show you how.”

He will show you exactly what to do... and he’ll give you the blueprint for just $1.

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The Exits: Determining Risk
by Lee Gettess

The only thing wrong with having really, really good entries is that they don’t make you any money. You have to exit the trade before you can bank any cash. You have to exit well at a profit to attempt to maximize your gain. You have to exit as quickly as possible on losers so they don’t cost you too much. Money management and trade management are at least as important as any entry technique.

There are several ways to handle these trades after getting into the market, and you can mix and match them as you please. That is one of the big advantages to having a methodology rather than a hard and fast system: You can tailor your trading around your personal comfort level and preferences instead of just following the way that makes the most money. Trading within your own comfort level, both psychologically and monetarily is probably the single most important criteria for success in the markets.

Risky Business

Let’s start our discussion of money management and trade management from this premise: The only aspect of trading that you have a modicum of control over is the risk. If you decide that you don’t want to risk more than $500 per trade, given that there may be slippage and overnight gaps, you can come close to risking no more than $500 per trade. On the other hand, if you attempt to make $500 profit per trade, there is not much you can do. You can stay in the market and hope it will go $500 in your favor, but whether it does or not is totally beyond your control. Consequently, it makes sense to base your entire management of the trade on what the risk in the trade is.

You can define risk several different ways. You can use a previous swing high or low and place your stop loss order just beyond them. You can calculate whatever the next farthest away Fibonacci retracement level is, then place your stop just beyond that. For instance, if you are buying at a 50% retracement, you could place your stop just beyond the 61.8% retracement.

My favorite method is to base your risk on a multiple of the average true range of the time frame you are trading. Anywhere from 5 to 15 bars serves equally well, and you can use a multiple of 1, 2 or 3. Let’s say you are trading the S&P 500 off a 3 minute bar chart. After all, you are an aggressive day trading maniac! The 7 bar average true range on this 3 minute chart is 35 points. That means you can choose to risk either 1, 2, or 3 times that amount from your entry point. Your stop loss would be either 35, 70, or 105 points from your entry.

In general, using larger stops is preferable. It will make a larger percentage of your trades profitable as a rule and usually equate to more total profits over time. Using two times the average true range is a reasonable figure. Using this is a guide-line, you can determine what time frame chart you are capable of trading by calculating what your risk would be on that time frame. The larger the time frame you can comfortably trade off, the more reliable the signals will be. Obviously, a floor trader sneezing causes a 5 minute chart to change more than a daily. There is unavoidably more noise on shorter term charts. That doesn’t mean they can’t be traded profitably, it just means that they are more difficult to handle.

Take the Money, Honey!

Once you have decided on your method of determining risk, you can use your risk figure to determine how to exit your trades. The most efficient method is to take profits at some multiple of your risk. For instance, you could take profits when you have a profit that is equal to ½ of your initial risk. You would have to be correct on over 75% of your trades in order to make money doing so, but that is not unreasonable with this method. You could also exit when the profit is equal to the initial risk, which means you simply have to be right more often than not to make money over time. Taking profits at two, three or four times your initial risk allows you to trade at a relatively low accuracy, but still be profitable over all.

If you can afford to trade multiple contracts, the ideal situation is to take at least part of your position off when the profit is equal to the initial risk, or even sooner. At that time, you should move your stop on the remaining contracts to break even, which assures you of a profit on the entire trade. You can either take additional contracts off when you reach a profit equal to twice the initial risk, or simply begin trailing your stop up to protect part of your profits. Protecting at least 50% of the open profit in the trade is a good rule of thumb.

 
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6) Some profit examples are based on hypothetical or simulated trading. This means the trades are not actual trades and instead are hypothetical trades based on real market prices at the time the recommendation is disseminated. No actual money is invested, nor are any trades executed. Hypothetical or simulated performance is not necessarily indicative of future results. Hypothetical performance results have many inherent limitations, some of which are described below. Also, the hypothetical results do not include the costs of subscriptions, commissions, or other fees. Because the trades underlying these examples have not actually been executed, the results may understate or overstate the impact of certain market factors, such as lack of liquidity. Simulated trading services in general are also designed with the benefit of hindsight, which may not be relevant to actual trading. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk of actual trading. TradeWins makes no representations or warranties that any account will or is likely to achieve profits similar to those shown.

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