Taking targets and exits

I am in bit of soup here. I follow a risk reward of 1:2, and i intend not to take exits below 2R.

Now, there are times my tgt goes around 1.39R , 1.7 etc and it hits stops. I know people who would play for 1R.

Trailing can help but seems too tight at times.

How do you manage your exits? @Yogarajan_V @t7support @ronin_sha

All others can chip in here. I mentioned few whom I remember.

What is the accuracy of your strategy ?

risk reward ratio is there for controlling emotion and psychology.

You would be working with higher timeframe and entry after few candles up or down which increase the stop and thus the reward tgt.

Come down to lower time frame and trail at swings high or low depending on the move of market.


hey hi.
see am not a text book stuff guy. These 1:2 RR, Dividing capital by 10 and only trading 10% of capital, or having stoploss as 2% of capital… all these text book stuffs or traditional things are advocated by many experienced traders. This doesn’t suit me.

You might consider me a non traditional guy who doesn’t follow this, so am not sure my way of trading will help you.

Like I have mentioned earlier my strategy depends on price action which includes OI.

Let say for Example If nifty opens at 17500 and I have a confirmation that nifty is going up, and I made my entry at 17550, I see OI resistence at 17600 and 17700 means I will wait for nifty to touch 17600 or close to 17590, If I see the price struggles at that range I will exit my position there, If Nifty crosses 17600 I’ll keep my trailing stoploss at 17590, Nifty might retrace at 17590 to 17600 and then again move up. In this scenario I’ll raise my Trailing stoploss by 25 points, Nifty might either touch 17700 or can struggle past 17650, so I’ll exit around here.

my initial SL would be 20 to 25 pts below the previous support. why 25 pts below the support because many times i have seen Stoploss hunting at support so I keep little below.

So I have mentioned my way of trading. In your case your entry would always determine your RR.

If you have your entry at the beginning of a trend mostly your Stoploss will not hit and your reward of 2% will be mostly achievable. If your entry is at the middle of the trend or at retracement, the so called 1:2 RR will not work.

whenever you made your entry in the middle of a trend you never know how long will the trend will continue so you always need to be ready to exit your position to exit with some profit or avoid loss. You just cannot calculate 2% from your entry and make an exit order and wait for it to get executed. In Intraday you always need to dynamic.

If say in the above example nifty has moved from 17500 to 17600 and retraces at 17550 , and if you have made your entry at 17550 you never know If nifty will cross 17600 or it will go max 17600. so you need to be ready to close to 17600.

whenever you have made a good entry don’t restrict yourself for 1:2, sometimes you might get 1:5 also.
don’t always follow text book stuff, try to be dynamic and have little modifications which only help.


@Celina (Stalker is back) :wink: You can’t follow others advice to your method of trading. Being Intraday trader you should figure out a best way to yourself. It’s a complex question! RR shifts trade to trade time to time. Isn’td? How adaptive are you? :yum:

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It’s a very valid scenario faced by all the traders. And a very practical approach was given by @Yogarajan_V .
But usually easy said tham done, because huge amount of emotions kicked in.
Now comming to the solution part, be little dynamic, and trailing stops is only one way and along with that take some profits of the table when your R multiples got hit.
Like, if you have planned to take 1:2 RR, then you can take around 30/50/70% of the position out of the trade when 1R got hit, and obviously that percentage will depends on your intuition and trade scenario, and let the rest run. Even if the rest hit the stop loss your will be at net to net ptofit. And "Who became broke by tacking profits? " no one right…

Thanks all for their valuable inputs.

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Thanks for this update as I forgot to mention this part. @Celina It is always good to book 50% at 1% RR , let the 50% run and keep the trailing Stoploss at 1% RR. In case If the trend is over and price comes to that 1% RR means still you are going to go with some profit in hand. Safe traders will always prefer this.

Remember 1 thing always before planning a trade, your 1st priority should always be to protect your capital.
It is always good to go home with something in hand or even nothing than with loss. If its not today its going to be the next day.