The point of entry into a trade is critical to a successful trade. However, most traders overlook the importance of exit points. This is why most traders do not reap the rewards despite excellent analysis. This is because you need to be able to establish a pre-determined exit point. This means that you should decide when your trade will be profitable when you leave after making the expected profit. In addition, you should establish a stop loss threshold at which you end the trade if it does not work out.
This is an interesting example. If you set your stop loss too high, you are likely to suffer huge losses. A loss that is too tight may be hit too soon because you didn’t leave enough breathing room. That’s why you need to come up with a plan that will allow you to take profits or stop losses in the best possible way. However, such a strategy is hard to find, especially when you are just starting out.
Stop Loss Take Profit Indicators
The Stop Loss Take Profit indicator was created to solve the above problem. It analyzes the market to determine the direction of the trend. The indicator then gives you an optimal entry point. It also gives you the choice of exit (stop loss and profit) levels based on a set price for selling or buying.
The creators of the indicator have designed it with all investors in mind. It meets the needs of both short and long term traders. It is applicable to all currencies and time frames.
How to buy and sell using the Stop Loss Take Profit indicator
Using the Stop Loss Take Profit indicator can be quite easy. You don’t need to draw lines or do calculations. Just install the indicator on your price chart. The indicator will analyze the chart and calculate the optimal starting point as well as SL and TP levels. The indicator then displays the value on the chart. In reality, the Stop Loss and Take Profit draw lines to indicate which areas should be entered and which areas should be left.
The indicator offers three levels of profit taking. So, if you are a scalper, the first take profit is the one you are most interested in. For day traders, the second take profit target is more suitable, as the third one is a good choice for swing traders.
This indicator tells you whether the trend is up or down. It also shows the level of selling or buying. The indicator also provides.
Stop Loss Level
Profit level normal
Profitability high and aggressive
The indicator also shows the ratio of risk to reward. In addition, the indicator is decorated with four lines.
Gray – shows the high of the day
orange-red – shows the previous day’s opening price
Dark orange – shows the previous day’s closing price
Medium blue – indicates the low of the day.
The indicator has four lines that represent the previous day’s open and close, as well as today’s high and low. In addition, it shows the entry level and stop loss for buying. In addition, it gives three take profit levels. You just need to choose the one that matches your risk tolerance and overall trading strategy.
Stop Loss Take Profit is one of the most effective and easiest indicators to use. All you have to do is look at the entry point, stop loss and take profit levels. Simply enter the values and you’re good to go. Remember that there is no guarantee that an indicator will work. You have to use different strategies and indicators to confirm the signal.