Normal
This was explained in the other thread johnno. You determine an entry level based on a resistance level (in a long) and then a support level for you stop. Assuming you already know you risk (2% ?), you then decide how many of the instrument to buy.Work backwards:1.) determine risk per trade = 2% or less is good2.) pick a stock that you want to trade3.) look for short term support and resistance (entry and initial stop)4.) calculate how many shares you can buy5.) place the limit order and stop loss6.) manage the tradeCanOz
This was explained in the other thread johnno. You determine an entry level based on a resistance level (in a long) and then a support level for you stop. Assuming you already know you risk (2% ?), you then decide how many of the instrument to buy.
Work backwards:
1.) determine risk per trade = 2% or less is good
2.) pick a stock that you want to trade
3.) look for short term support and resistance (entry and initial stop)
4.) calculate how many shares you can buy
5.) place the limit order and stop loss
6.) manage the trade
CanOz
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