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Jonathan Stewart Dempster wrote:
> group, does anyone have any comments regarding stops and risk reward
> ratios,
Tom Joseph of Trading Techniques in their video describes a 1:1.6 with a 60% win
percentage as a minimum. An easy rule of thumb is risk 1 to make 2. For me on
options that increases to risk 1 to make 3-4. I figure it at a 1:2 but only risk 1/2
of the premium so the net is 1 to 4 or so. This does not preclude the fact that
I would take profits at any time. Things change but I am committed to not letting a
winner become a loser no matter how small the profit.
r
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