A security trade has at least three components (and many have a fourth).

The first component is the entry point.

The second component is the desired exit point (the target).

The third component is the undesired exit point (the stop loss if the trade goes against the position).

A possible fourth component is the trailing stop point (when the trade is going in the direction of the position but reverses).

Some traders do not consider all of these components before entering a trade (but they should).

Some traders determine the points by using various methods – such as a percentage –a stop loss set as a percentage of risk, for example.

Our method (a much better way) has an advantage in setting the value of all components of the trade anatomy. It is our SRVs. Specific values at which we can base our entry, initial stop and target price and specific values to watch for a reversal as price moves in our favor.

TBL (Trading Between the Lines) provides the trader with a strong indication of what price is likely to do in the near term – and our SRVs are the key element. I cannot imagine having to trade without my SRVs. It would be like driving at night on a multi-lane freeway without lane markers – downright scary.

Learn to place those SRVs – watch the market respond to them – and trade with greater confidence.

See the Music of the Market explains in great detail how we create our SRVs – and much more about short term trading. Get it now at a big discount at www.tradingbetweenthelines.com.

 

Leave a Reply

Your email address will not be published. Required fields are marked *

Comments Protected by WP-SpamShield Spam Blocker

See the Music of the Market

The unique trading method that is Trading Between the Lines