thread: 1:1 Risk Reward Ratio - Why it just makes sense

okay, I just wanted to understand it clearly. I don't think that it would be strange that you make suggestions according to you in different wordsleaving pips on the table.

I will be the first to admit that this could be a revelation for some people. But would you agree that to go then extra possible, somebody people could be forced that do more damage than good and to step from their comfort zone?

It occurred to me and I can say that; it's not just where you would like to go, but it's also how...

Can it not be based on the strategy used?

Someone trading on a weekly basis for instance, might just pickup a couple of trades a week, in that case to shut the trades to early might become a problem, somebody on the 4hr picking up a couple of trades every day might close to early but then has another chance just around the corner, would it matter then when they closed to early?

So long as equity continues to rise, joyful days.

Discussions are fine, Lean gets violent when he can not support or defend his views! It's all fun and amusement, I am sure neither of us take it too seriously!

That's a great one. You're funny!
I recall abuse with this forum. It generally comes from you as I recall.

But you are being so sweet today. I wonder why.

But you are being so sweet now. I wonder why.

'Cos that is just the kinda guy I am.

Lean apart from being violent do you actually have anything to say that is remotely connected to the discussion? Something? Anything?

gets it !

Perhaps but I nearly forgot.

YOU STILL AIN'T SHIT

'Cos that is just the kinda guy I am.

Slim besides being abusive do you actually have anything to say that is remotely connected to the discussion? Something? Anything?

I am waiting for your words of wisdom to guide me. I have not noticed any yet.

'

would you really have anything to say that is remotely linked to the conversation? Something? Anything?

BTW.... Not any more. I'm focused on being abusive. Can not you tell.

Someone trading on a weekly basis for instance, might only pickup a few trades weekly, in that situation to close the trades to premature may become a problem, somebody on the 4hr picking up a few trades per day may close to premature but then has another chance just around the corner, would it matter then if they closed to premature?

It would as far as trade costs and risk. Once a transaction is profitable vulnerability can be increased and risk can be lessened, all in/out 1:1 approach such as an rather than to zero. Then there's the issue of overtrading....

Provided That equity continues to increase, joyful days.

Well it is certainly better than it decreasing that is for certain!

I believe it is dependent upon the method...I'd be severely shortchanging myself if I took 1:1 r/r...I'd rather go to break first and hope to pinpoint more profits that usually happens....anyway different strokes for different people.

To say the obvious: there is no RR value that's best for every kind of strategy.

In general, trend-following and/or breakout kind egies can operate profitably because they seem to cut losses quickly, and let profits run, which results in a lower win% but higher RR trades.

Whereas trading counter-trend and/or across sideways channels will require a higher win% in order to be overall profitable, because it's required to consider profit earlier prior to a retracement happens, leading to lower RR.

If profit factor, which is the product of both win% and average RR, stays significantly more than 1 over time, then you're profitable. It is equally simple, and as difficult, as that.

Notes, IMHO.


Onward from 1,2:
.Few transactions (unreliable W:L), higher confidence (reliable R:R); v-v.
.Market-move (channel. . .counter-trend) (lots of trades) or intra-area motion (few trades) standardization presets value.
.Except, the source of a person's motive -- from intuition from a motive very little from the conscious mind,
to some motive one resists yet does if the answer feels difficult to take --
also presets worth, and also can correct one's energy (not adjusting SL during trade) and discretion (not set area to frame trade reason).
.Maybe the finest of three: Know chart area kind, correct confidence so can move SL-TP positively, and measure trust in reason the same regardless of motive's source.


On the motive ,
a quibble:
pairs --'Return to the expression'; afterward, any borrowed (range-trend) or derived (balance-momentum) convention.
Single symbols are range-trend, as they can disappear.