Just placed the above trade, and came out with an additional rule.
- Do not trade if the realistic profit cannot be at least twice that of the stop loss.
Usually, I will place the stop loss around the previous high/low, like the above graph. I skipped many trades yesterday as the stop loss was simply too high. This is so that when I have 5 win trades and 5 lose trades, I will be able to make more than a break-even.
Good luck!
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