Even if you have the perfect trade setup…
There’s still a common trade management flaw that can hinder your performance.
And that’s moving your stop loss to breakeven too soon.
Let’s say you enter a trade that meets all the criteria of your trading plan.
But as soon as your position is running in some profit…
You immediately move your stop loss to breakeven.
You might feel good about this since it’s now a ‘risk-free’ trade.
But in reality, you could be risking a lot of potential rewards.
Think about how many times the market has stopped you out at breakeven.
Only to reverse and continue moving towards your would-be profit target.
How much do you think you’ve left on the table due to this situation?
I’m sure we could all agree that we’ve missed out on a fair share of profits because of it.
So in today’s video…
I show you real statistical examples of how prematurely moving stops to breakeven can reduce your long-term trading return.
As well as how to move your stop loss to breakeven in a way that leaves the least amount of profit behind.
As we head into 2023, I trust that this perspective on trade management will help you to improve your trading results.