[Truville]

Rezo,

Your illustration and explanation proves my point exactly. It’s one thing to look at a chart, determine probabilities, and decide whether to enter or not. But it is quite another to simply choose a 3 to 1 profit to risk ratio. The former is taking clues from the market. The latter is simple guesswork.

You stated “You should define how much are you willing to risk”. I agree. But shouldn’t that number be a function of the market, and not some random number that seems “sufficiently high?”