What is a Good Forex Risk Reward Ratio?
Anytime you’re thinking about risk reward ratio in forex trading and in particular when scalping forex, you may not be considering the right things in your trade selections. The most important thing when selecting a trade is to be almost certain that the trade is set up to be profitable. In your forex scalping trades, your risk should be almost zero, meaning that you should be trading with the established flow of the market.
Sometimes when scalping forex, especially when looking at a candlestick chart, it may appear that your risk reward ratio is backwards, but when you look at it with a proper forex scalping chart designed specifically for scalping, you may actually see that there is almost no risk to your particular trade. In general, if you are considering risk reward ratio too much in your forex trading, you’re most likely gambling, and are using probabilities and statistics to probably. Yes, this does go against what most educators are showing you, but just because that’s what they are teaching does not mean it is correct.
Being someone who wants to learn the intricacies of the stock market and day trading, I would certainly need to know a whole lot of