How do I exit a trade?

Ese11

Trader
Aug 12, 2015
32
0
12
This question might have appeared several times but I really need help.How do I exit a trade? I have gone through most of the comments here but cant seem to understand.Please help me :confused:
 
Establishing a price target is a great way to establish your potential reward relative to risk. If you are risking $300 on a trade, but will make $900 if the price hits your target, your reward outweighs your risk 3:1. Also, if you set a stop loss and a price target, you can “walk away,” knowing that eventually one of the orders (stop or target) will get filled. This is advantageous to all traders, but especially those who lack time to constantly monitor their trades.
 

Bosschick

Newbie
Aug 5, 2015
19
0
2
Using a price target is a good way to exit a forex trade
so long as you pick a level that is realistic. If your price
target is too far away, your trade might never reach it,
which means you’ll probably end up losing money when
the market turns back. Similarly, if your profit target is
too close you’ll earn too little for the risk that was
involved.
Technical levels such as pivot points are often great
places to set as price targets for a couple of reasons.
First of all, they use recent data so they adapt to market
volatility. This means that the key pivot levels are all
realistic profit targets. Secondly, pivot points are
watched by thousands of professional traders. This
means they are better at predicting turning points.
 
Do you mean how to exit a trade as technically how to close a position? or do mean how to decide when to exit a trade?
If you mean the second one than you don't need to decide, but you have to know before entering the trade at which point you are going to exit it,
according to a pre-determined trading strategy. It needs to be logical, fit to technical analysis levels and your risk management.
 

Sarah12

Newbie
Aug 12, 2015
29
2
2
You can exit a trade in various ways and few of them is using the Trailing stop,it can be used to guard against losses and help to lock in profits as they occur. It can be used on its own or in conjunction with another exit.
Another of plan of eixt is Price targets,well Using a price target is a good way to exit a forex trade so long as you pick a level that is realistic. If your price target is too far away, your trade might never reach it, which means you’ll probably end up losing money when the market turns back. Similarly, if your profit target is too close you’ll earn too little for the risk that was involved.
 

Ese11

Trader
Aug 12, 2015
32
0
12
Forex trading Channel,I was talking of the second point/question thanks for the enlightenment :)
 

radex78

Active Trader
Nov 15, 2015
670
17
34
41
Maybe each trader they have own parameter to determine their exit point, some trader might they use support and resistance are as place to determine their target profit and stop loss also, but any trader mih tthey will use certain indicator to determine exit point, and for trader that use price action might they will exit if likely canldestick figure out reversal pattern.
 
Feb 25, 2016
23
1
17
39
South Africa
The million dollar question. It is quite easy to enter trades, but when to give up on a losing trade and exit.
 

radex78

Active Trader
Nov 15, 2015
670
17
34
41
Because forex is not easy to earn profit, here required good money management and risk management to manage these risk in trading, maybe so many trader fail and then leaving forex because they feel not suitabe with forex business, here required good understanding with the market to determine entry and exit point.
 

myfxpt

Master Trader
Nov 13, 2012
395
50
74
58
Melbourne, Australia
gazfxsite.wixsite.com
I go with Sarah12 and use a Trailing Stop and profit target. My profit target is set at next daily Resistance level if buying, or next daily Support if selling. My entry Stop Loss is set just below Resistance if buying, and just above Support if selling. I trade the H4 timeframe, and as my trade progresses, I will wait for price consolidation to form, which will ultimately result in a H4 Support/Resistance zone, allowing me to move my Trailing Stop. I repeat this process until either my stop or profit target is triggered.
 
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radex78

Active Trader
Nov 15, 2015
670
17
34
41
Usually in my trades will use stop loss on support and resistance area on fifteen minute timeframe, and usualy will modify stop loss if already getting floating profit, and or will waiting my stop loss has triggered, and usually to exit often oly cut profit and no specific target which will look on the trend will rebound to exit
 

MillerTrade

Trader
Mar 15, 2016
19
0
7
43
Hello guys,
I totally agree with you.Support and resistance levels must be the primary points to enter and exit a trade.Placing stops will help limit initial losses .The use of trailing stops can also help minimize the amount of profit given back to the market.I read that the Fibonacci and Eliot Wave indicators can provide good exit points.Does anyone here have experience using them?
 

myfxpt

Master Trader
Nov 13, 2012
395
50
74
58
Melbourne, Australia
gazfxsite.wixsite.com
Hello guys,
I totally agree with you.Support and resistance levels must be the primary points to enter and exit a trade.Placing stops will help limit initial losses .The use of trailing stops can also help minimize the amount of profit given back to the market.I read that the Fibonacci and Eliot Wave indicators can provide good exit points.Does anyone here have experience using them?
I always move my stop to fresh consolidation zones within a trend. Not exactly a trailing stop, but it does allow me to protect profits and re-position my stop as near as possible to logical SR levels. I continue this process until my stop is hit or price action signals it's time to go. Have never used Fibs or Elliot, so can't give input on these.
 

Twin butterfly

Active Trader
Apr 11, 2016
366
6
29
31
There is no best way to exit profitable trade. For some trades, one method will work and for others the other closing method will work.
 

MillerTrade

Trader
Mar 15, 2016
19
0
7
43
Yes , sure.Every trader selects a trading strategy which best suits him and makes him feel comfortable.Everyone sees the market a little differently .
 

radex78

Active Trader
Nov 15, 2015
670
17
34
41
I am ever read if we also can use autofibo to determine support and resistance level that presented from fibo line, but I think we also can draw fibonacci manually with look on timeframe that used and draw line from higher price and bottom price on timeframe
 

myfxpt

Master Trader
Nov 13, 2012
395
50
74
58
Melbourne, Australia
gazfxsite.wixsite.com
The time to exit a trade is when it is maxed out, but you can rarely determine this in advance. Hence, a trailing stop allows you to stay in a trade to its maximum potential whilst progressively locking-in accrued profit. When the TS is hit, you're out...simple as that!
 

radex78

Active Trader
Nov 15, 2015
670
17
34
41
Trailing stop is good feature in mt4 which can used to manage the risk and lock profit, and any trader they can set trailing stop based on number pips option, whether 10 pips or 15 pips or more, this will automatically moved stop loss level if price already floating plus from trailing stop setup, but platform must connected to server broker
 

myfxpt

Master Trader
Nov 13, 2012
395
50
74
58
Melbourne, Australia
gazfxsite.wixsite.com
Trailing stop is good feature in mt4 which can used to manage the risk and lock profit, and any trader they can set trailing stop based on number pips option, whether 10 pips or 15 pips or more, this will automatically moved stop loss level if price already floating plus from trailing stop setup, but platform must connected to server broker
Automatic trailing stops let you sleep at night! cTrader also has this feature.
 

fxapex

Active Trader
Jun 7, 2013
258
7
29
It comes with experince the more you trade the more you learn about when to enter and exit trades, you have to be patient for that.