Episode Details

Podcast:

This Trade has a 14.6 Reward:Risk ratio

In this video:
00:29 – Selling the EUR/CAD on the Weekly chart
00:46 – I promote high reward:risk trades
01:33 – Money management is very important
02:32 – Low risk per trade is also important
03:39 – Trade with a 14.6:1 R:R profit target, currently at 6.4:1 R:R
06:16 – Understanding what you need to do in order to trade well

I want to tell you all about a trade that I’ve got on my platform right now that has a 14.6:1 reward to risk ratio. Let’s get into that and more right now.

Hey traders, Andrew Mitchem here at the Forex Trading Coach with video and podcast number 361.

Selling the EUR/CAD on the Weekly chart

I want to talk about a trade that I’ve got on the weekly charts on the Euro/Canadian Dollar. We put it on our membership site on Monday. It has a 14.6:1 reward to risk ratio if it gets to its full profit target. More about that shortly.

I promote high reward:risk trades

But if you’ve been following me for any length of time, you know that I endorse and I suggest and I promote people look at trades that have a high reward to risk ratio. So what does that mean? So in easy numbers it means if you have a reward to risk of let’s say 4:1, it means if you’re risking 1 part you’re making 4. So if you’re risking 1% of your account, you’re making 4%. For me, I personally trade at half of 1% risk per trade, is what suits me. So that means I’m risking one part, of half of 1% of my account, to make 4 parts, or 2% gain on my account if the trade gets to the profit target. It’s very easy for you to do that regardless of your account size.

Money management is very important

To me, the biggest part of trading apart from having a strategy and a right mind set is to have that m