Many trade profits but do not protect their profits from turning into losses again. If you are a newbie, this article is suitable for your reading because many traders in the initial phase are not aware of this thing which is LOCK PROFIT.
Here we will give you tips to lock profits in particular how and what to do technically to protect those profits. Have you ever opened a buy or sell position next to your floating profit. However, after a while the position was hit by Stoploss, haha..it really hurt.
This can actually make us emotional. "Why didn't I close the jer just now! If I close the position, it must be profitable. ”
For those who do not have time to monitor the chart is definitely affected by Stoploss. In fact, this is normal in trading because there are times when we have made a profit and after a while, it becomes a floating LOSS. That is normal. What is important is that you have to choose the best Risk-Reward for example 1: 3.
SO HOW TO LOCK PROFIT?
For example, you BUY USD / JPY by putting SL -30 pips. After a while, you have a floating profit of 70pip. You can change your stop-loss level to breakeven or stop loss profit according to your strategy. You can just put SL at a profit level of 10 pips or 20 pips. Meaning if the USD / JPY you buy weakens again until it hits SL, you still profit 10 or 20 pips.
WHY LOCK PROFIT?
This is one way to control emotions when trading by making a profit lock. This can reduce the pressure on the trader when the position is floating profit. If the price breaks back you do not have to worry because it is LOCK PROFIT.
Good luck to you all!
