How to get out of the lofork trading strategy
When trading in the foreign exchange market, you should remember that it is not enough to have analysis tools, you must also create your strategy. Trade tactics are formed by their various techniques, consisting of sequential or parallel operations. Using a trading strategy allows you to reduce losses to a minimum, and sometimes even increase profits. One of these tactics is"loformpk".
Use the trading strategy "lodak" in case when the open rate does not make a profit by at least 50 points or if a sharp reversal of the exchange rate is planned. To reduce losses, a trade sprounter is formed, whose opening point should be as close as possible to opening the first position.
It supports profitable trade. For example, i bought a currency while watching upwards. However, the resistance line is expected to cross throughout the day, from which a rebound is possible. To be on the safe side, place a sales order at the resistance point, forming a positive lock.
After that, do not take notice of the lock, as this prevents you from analyzing the situation. The exit from the castle is done in the following ways. If the price has recovered from the resistance line, but a reversal to growth is expected soon, then the sales order is closed, and the purchase remains to increase profits. If the exchange rate breaks down the resistance line, then you must wait for the moment when you get back to the support level, and then close the sale.
Minimise losses by forming a negative lock. For example, digs with the hope of upward trend. But instead of increasing, the price breaks down the support line. As a rule, in this situation, stop-loss are a safety net. However, you can make a sales order at this moment. Therefore, it does not close a losing trade, but opens the opposite position.
To get out of the castle, you need to determine the next support line. Then close the position to make no profit in the future. The use of negative lock is dangerous as there are no loss limits. In case of sharp change in the exchange rate and carelessly, this can lead to serious consequences. In this regard, it is only necessary to use this strategy with sufficient experience and knowledge.