Before entering any trade, I always calculate my #RiskRewardStrategy —it's a key element of my strategy. I typically target a 1:2 or 1:3 ratio, meaning I’m not willing to risk more than $100 unless there’s an opportunity to potentially make $200–$300.
To set my stop-loss and take-profit levels, I use support/resistance zones and RSI divergence. These tools help me identify high-probability entries while minimizing potential losses.
Maintaining this ratio has helped me stay consistent and avoid emotional decisions, even during tough losing streaks. It's all about focusing on the long-term!
What’s your preferred risk-reward ratio? Share your thoughts below!