All language subtitles for FXCodeNameChibiuzin - 5

they are so important and why
it's important never to move

watching and I will see you in
the next video when we're going

instead closed out with around
a 00 dollars profit rather than

trade and then we can move our
stop loss into profit to

Let's say we want to move our
stop loss down now to around

losses and to reduce the amount
of money that you actually on

we're either going to get our
$393 profit or a very small

$393 profit or $400 profit
whatever for this original but

actually do with the stop loss
is then realign it to the break

to secure profits even in the
worst case scenario. We can of

completely cut risk and turn
our worst case scenario into a

depth in the technicals
chapter. Hopefully you've got a

this point.

stop loss for the better and
how to utilize your stop loss

movement. So that's a great
example of how to utilise your

them further than they are
originally set. Thanks for

the original one hundred
dollars loss that we had on the

case scenario so our stop loss
is then activated and our trade

We can continue to chase chase
the market with the trend line

into profit like so and then if
the market reverses now we know

continuer to run lower and we
might even then want to run the

good overall idea now of how we
can utilise stop losses and why

to talk about position sizing
which is the next aspect of

course move our stop loss to
break even to cut risk out of a

win and into a profit. So we
will of course go into more

is closed out here And when
it's closed out there we are

of course we're going to talk
more when we're talking about

hopefully you're seeing how we
can utilize a stop loss okay

with the stop loss sorry but we
do want to be logical about it

technicals but these real life
examples are very useful

movement okay we'll let the
market run we might see a

market play out and what we see
is the market run even lower.

movements due to full stop
losses being hit. So we let the

market further into profit okay
if you remove your stop loss

single trade to make things
safer to reduce your amount of

if it goes wrong now we have
got absolutely no risk on this

instead sit to break even okay
so we're still aiming for that

even point and now what this
means is if the trade turns

how we turn this $100 risk into
around $100 profit at the worst

small win so you can see how
these can be utilised on every

profit but profit nonetheless
okay worst case scenario is a

no loss okay so this stop loss
no longer exist there and

against us we're going to get
closed out with no profit but

nice example there what I
want to talk about now is the

that if you follow your risk
reward process and you follow

the break even point okay so
let's say then here we have our

there we've gone and fulfilled
that profit target okay and

you want to succeed you need
that strict discipline and

see I'm kind of glad that we
just had that lost there

say and we let the market play
and do its thing we can see

and if we were to go for a
reentry on this movement keep

into infinite if you let less
than keep running, okay? It's

we're going to buy the market
stop beneath the area of

because the market is coming
cleared out this this high,

tapped into that level and form
a reversal so in this instance

to reverse the trade and bring
you back into profit. So we

break even we are not up in
profit so you can see how this

extending your losses inflating
your losses by widening your

we're going to have to win one
one to four risk reward

and potential $393 profit if we
go fulfill our target. What we

to hit wins okay you're
going to win long term really

that original target that we
were going for you know around

done. Unless you're moving it
into profit which takes me onto

the market do its thing okay
around here we see that we've

Now, we've doubled our risk.
Our risk is no longer $100,

can do then keeping our stop
loss firm is allow the market

are we are going for another
one to four position okay so we

It's not going to do that,
okay? And you can see there, we

for good okay taking it back to
this original selling position

to run into profit and when we
see movement into profit we can

that we're speaking about it
but you see the trade running

runs so we mentioned before
that stop loss can be utilized

our $100 loss, that's all nice.
Uh and we've accept now that

strategy is okay two losses one
win 130 overall profit secured

right $100 loss if it is
activated but what we can

go ahead and move our stop loss
order okay from here down to

process of moving your stop
loss into profit as a trade

one to four risk reward Okay?
So we've got $100 risk on here

where we were selling the
market from this area let's say

upside okay and we begin
trading back close to the

Let's say we're focusing on the
same level once again. We let

that's something we're going to
talk about later but here we

what we're going to be looking
for is buying opportunities.

loss but trust me things will
get much more out of hand if

thing to do to widen your stop
loss to allow more room for the

it's $200, okay? Believe it or
not the market takes our stop

always remind yourself
consistently remind yourself

I'm going to just turn that red
so that's a stop loss order

we enter our trade right stop
above the high we are targeting

lot of traders feel and you may
have gone through this before

our stock loss clear lows will
go for a nice one to 3. 3 let's

right? From our original entry,
there is over $400 risk on this

to completely win this loss and
then some profit as well. So

so that right there is exactly
how you need to be trading if

that is how you want to ideally
use this risk management

a undisciplined trader. We can
see the market is after running

opportunities, right? We are
continuing the uptrending

towards your stop loss and you
think okay it's going to

you just don't take the loss
and you you rely on that full

because that just shows how
effective this risk reward

for this area to be tapped
again before running lower okay

trade to catch. So it's much
more logical and much more

into our trade okay from here
we are now on the trade let's

position back to even just be a
break even which isn't an easy

your risk reward strategy
overall long term you're going

stop loss

right? We are instead going to
be looking for buying

even though we just took one
loss there and we took one loss

there we go we've taken another
loss that's if we keep it at

right and that with $100 risk
is $330 profit right so you can

gotta be very strict. Hopefully
that shows you though how we've

hope of a reversal actually led
us to double our loss and bring

boundaries of the entry right
what we should do in this

take your $100 loss realign and
reshape the market okay find

not a safe game to play. Move
and stop losses should never be

trades inside of average reward
strategy, okay? That means then

interest and let's say at
profit target we'll go again

and you may go through this in
the future hopefully not now

for a one to four right these
are hypothetical positions okay

us the equivalent of two losing
trades this is twice as hard to

that though that is just $100
okay. so we're now down $200

really affects the risk of
reward strategy and really can

okay let's say now We are
risking $400 on this movement,

come all the way back down to
break, even the false hope is

stop loss is completely
counterproductive in the long

new movements in the market to
then win your $100 back right

viable to just allow that first
original stop loss to get hit

$100 on this movement and
that's fine we'd be back out

movement. We can see that this
market is still moving up. So

this level we lose $100 on the
contrary if we hit this level

are now down $100 so far
entering into this new trade

run in the moment you might not
be able to accept that $100

my next point which we'll talk
about now. So let's say we took

damage overall now even worse
right is someone who will

false hope that's going to
reverse, chances are, right?

see this now running towards
our stop loss we've got hope

area here we're going to get or
some point within that, right?

significantly move the stop or
completely remove the stop loss

just turned really really
quickly $100 loss into 400 or

this is of course not
legitimate technical analysis

still there, and then we
want to clear this out, right?

we're going to have to win two,
one to 2 positions back or

That's $400 lost on a single
movement. And a 4hundred loss

on a single movement is the
equivalent of losing four

reverse is if I if I can put
the stop loss clear of the this

course the top of this great
box and our take profit level

strategy, okay? But as a
beginner or not even as a

to move your stop loss or you
might think it's a logical

into profit coming back to the
break even point okay we can

that emotional discipline, you
may feel the need or the urge

market to reverse okay when we
pre-plan our stop loss we

and not actually dragging your
stop loss bigger to allow the

again here but we're going to
look at some on-chart examples

enough okay it's not logical
but this is an emotion that a

movement now. And if we let
this thing play out with the

beginner but just as a trader
who hasn't quite yet developed

here for minus $200 in total
we've just won a 3. 3 trade

like so then it hits stop loss
okay and that's completely fine

because we predetermined that
$100 risk we would have lost

ready to attack the next trade
to win $200, 300, 400 or more

but then all of a sudden the
market forms a reversal to the

that this is going to turn
around which of course isn't

down here we pretty much win
400 okay, we're going to win

area of interest this previous
support so let's say then we

we're kind of getting the
reaction we want to see okay so

market to move, okay? So, let's
say we can see from the eyes of

position is allow the trade to
run and if it hits stop loss

say we have $100 risk at the
stop loss level so if we hit

reward video so this grey box
is our stop loss okay so we

inefficient trading okay so
what we've got here is the

okay where we will close out
the trade at profit our trade

I've just plotted out a
hypothetical trade position

broken above we've now broken
back beneath this area of

pre-plan that risk and we set
that risk in motion and we

loss out anyway so that false
hope right there that false

so we'll let the market play
out and then we are activated

we've spoken about which is of
course the core about trading

$399. so we're going to let the
trade play and as we can see

are looking to sell the market
now the reason being we've

enter the trade here right at
this point stop loss is of

and damaging that is going to
lead to a long long process of

first of all is the importance
of keeping your stop loss firm

How we doing everyone? We're
talking about stop losses once

market we've got the market
price moving up and essentially

which of course is this we
spoke about this in the risk

trying to win back losses and a
long process of ineffective and

risk management.

win back okay if we now win
a1-2 trade we're only back at

interest we can see reaction
reaction and we're looking now

target is this level down here
okay which is at this previous

we do that damages our risk
reward ratio strategy that

cannot alter that risk we can't
make that risk bigger okay if

in real life market scenarios.
So what I'm going to show you