Secret
Profit
Levels
Cheat
Sheet
1:
BUY
TRADE
RULES
1. The trend must be heading up.
2. Wait for the price to climb up towards a round number level. We want the price to break 2/3rds of the entire range between 2 round numbers. For example, if we are in uptrend on the EUR/USD and price is in between the 1.3000 and 1.3100 levels, we want the price to climb up above 2/3 of this range or above the 1.3067 level to consider that as a possible long trade set up.
3. As soon as price reaches 15 pips below the next round number, we can open a buy order. If we use the same example with the EUR/USD pair above, as soon as price breaks the 1.3085 level, we can go long. We can also use a pending order to enter trades.
4. The stop loss is set 15 pips under the entry point.
5. We have 3 options in setting the take profit
–
Conservative, Aggressive and
Managed.
a) Conservative exit
–
The next round number. In the EUR/USD example above, our first target is the 1.3100 level. b) Aggressive exit
–
This is the round number level plus 15 pips. In our example, it will be at the 1.3115 level.
c) Managed exit
–
Here, we close half of our position on the round number level, then move our stop loss level to the break even and close the rest at the round number plus 15 pips. This way, we can lock in some profit and preserve it by moving the stop loss to break even.
*N
o
te:
Y
our
S
L
and
TP s
hould
be
ba
s
ed
on
y
our
own
ri
sk/
reward
t
oleran
c
e
,
and
ne
v
er
ri
sk
more
t
han
wha
t y
ou
s
ee
a
s y
our
pro
f
i
t
po
t
en
t
ial
.
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Secret
Profit
Levels
Cheat
Sheet
2:
SELL
TRADE
RULES
1. The trend must be headed down.
2. Wait for the price to decline towards a round number. We want the price to break
2/3rds of the entire range between 2 round numbers. For example, on the EUR/USD, if price is between the 1.2800 and 1.2900 levels, we wait for the price to decline 2/3 of this range or below the 1.2833 level to look for a possible short trade set up.
3. As soon as price breaks below the next round number minus 15 pips, we can open a sell order. In our example, as price breaks below the 1.2815 level, we can go short. We can also set a pending sell order instead of waiting for the price to reach that level.
4. Set the stop loss 15 pips from the entry point.
5. We also have 3 options for setting the take profit
–
Conservative, Aggressive and
Managed.
a) Conservative exit
–
The next round number. In our example, our first target is the
1.2800 level.
b) Aggressive exit
–
This is the level 15 pips below the round number. In our example, it will be at the 1.2785 level.
c) Managed exit
–
Here, we close half of our position when price reaches the round number, then we move our stop loss to break even and close the rest 15 pips below the round number.
*N
o
te:
Y
our
S
L
and
TP s
hould
be
ba
s
ed
on
y
our
own
ri
sk/
reward
t
oleran
c
e
,
and
ne
v
er
ri
sk
more
t
han
wha
t y
ou
s
ee
a
s y
our
pro
f
i
t
po
t
en
t
ial
.
Unlock this document
Upload a document to download this document or subscribe to read and download.
or
Unlock this page after an ad
