#DiversifyYourAssets #StopLossStrategies

You can set your first take-profit and stop-loss order in four quick steps.

Identify a Trade Setup: Before you set up take-profit and stop-loss orders, you should identify a trade setup, assess the triggers, and determine your position size.

Choose Your Trading Method: Some traders prefer to trade based on chart patterns, trendlines, or technical indicators. You should have a technical reason for entering a trade and a trigger that will tell you when is the best time to enter.

Calculate Risk: Determine what percentage of your available capital you’re willing to risk on a single trade. Remember that you should calculate the risk-to-reward ratio for each trade setup to help you decide if it's worth entering. Ideally, you want to assess the risk versus potential reward. For example, a trade with a 15% profit target and a 5% invalidation point has a risk-to-reward ratio of 1:3 or 0.33, meaning three times the potential reward for each unit of risk