This document describes how to manage trades identified with the Forex Profit Accelerator Trade Alert Software.

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Louise Bishop
5 years ago
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1 This document describes how to manage trades identified with the Forex Profit Accelerator Trade Alert Software. General Risk Management Ideally risk no more than 2% of your account size on any one trade. Risk means the amount you would lose if stopped out at the Initial Stop Profit Targets (Pip Maximizer 1, Pip Maximizer 2, Pip Reversal) For each alert that you trade, you will want to place two entry orders at the same price for ½ of your position size. So ideally if you are trading 2 mini lots, you would place an entry order for 1 mini lot and another entry order for 1 mini lot. This enables you to scale out of the trade at ½ position at Profit Target 1 and the other ½ position profitably at the trailing stop. Copyright Profits Run, Inc. Page 1 of 6

2 Instant Pips Method Buy Entry Alert 1. When a buy entry alert occurs on the open of the new candle do the following: a. Place a stop order at the entry price specified for that alert under the signals tab. With a buy stop order, you will only be filled if the market trades at or above the price. If not filled on the next candle, a new entry alert will be issued if the stop 2. Once you are filled on the entry order, place the Initial Stop order as specified for that alert under the signals tab. 3. With Instant Pips, the goal is to exit at the first profitable close of significance, which is usually the end of the entry day and sometimes the day after. Also, to exit at the first losing close, if that occurs first. 4. On close of each daily candle, go to the Signals Tab to check for any Change Trailing Stop alerts and adjust your stops. 5. On close of each daily candle, one of the following outcomes will occur: a. The position will be stopped out at a loss. Instant Pips Method Sell Short Entry Alert 1. When a sell short entry alert occurs on the open of the new candle do the following: a. Place a stop order to sell at the entry price specified for that alert under the signals tab. Copyright Profits Run, Inc. Page 2 of 6

3 With a sell stop order, you will only be filled if the market trades at or below the price. If not filled on the next candle, a new entry alert will be issued if the 2. Once you are filled on the entry order, place the Initial Stop order as specified for that alert under the signals tab. 3. With Instant Pips, the goal is to exit at the first profitable close of significance, which is usually the end of the entry day and sometimes the day after. Also, to exit at the first losing close, if that occurs first. 4. On close of each daily candle, go to the Signals Tab to check for any Change Trailing Stop alerts and adjust your stops. 5. On close of each daily candle, one of the following outcomes will occur: a. The position will be stopped out at a loss. stop b. At the close of the candle or a subsequent candle, a Buy to Cover Next Bar at Market alert will be given, sometimes at a loss and sometimes at a profit. Pip Maximizer 1 Method Buy and Sell Short Entry Alert 1. When a buy or sell short entry alert occurs on the open of the new candle do the following: a. Place a market or limit order to buy or sell short ½ position at the entry price specified for that alert under the signals tab. b. Place a market or limit order to buy or sell short the other ½ position at the entry price specified for that alert under the signals tab. 2. Once you are filled on the entry order, for ½ position simultaneously place the Initial Stop order and Profit Target Limit order as specified for that alert under the signals tab. For the other ½ position place the Initial Stop order only as specified for that alert under the signals tab. 3. On close of each daily candle, go to the Signals Tab to check for any Change Trailing Stop alerts and adjust your stops for both ½ positions. a. Both ½ positions will be stopped out before reaching the profit target for ½ position, sometimes at a loss and sometimes at a profit. Copyright Profits Run, Inc. Page 3 of 6

4 b. The profit target for ½ position is reached and the second ½ position is allowed to run until stopped out by the trailing stop, usually at a profit as well. Pip Maximizer 2 Method Buy Entry Alert 1. When a buy entry alert occurs on the open of the new candle do the following: a. Place a stop order to buy ½ position at the entry price specified for that alert under the signals tab. b. Place a stop order to buy the other ½ position at the entry price specified for that alert under the signals tab. With a buy stop order, you will only be filled if the market trades stop price. If not filled on the next candle, a new entry alert will be at or above the issued if the 2. Once you are filled on the entry order, for ½ position, simultaneously place the Initial Stop order and Profit Target Limit order as specified for that alert under the signals tab. For the other ½ position simultaneously place the Initial Stop order only as specified under the signals tab. 3. On close of each daily candle, go to the Signals Tab to check for any Change Trailing Stop alerts and adjust your stops for both ½ positions. a. Both ½ positions will be stopped out before reaching the profit target for ½ position, sometimes at a loss and sometimes at a profit. b. The profit target for ½ position is reached and the second ½ position is allowed to run until stopped out by the trailing stop, usually at a profit as well. Pip Maximizer 2 Method Sell Short Entry Alert 1. When a sell short entry alert occurs on the open of the new candle do the following: a. Place a stop order to sell ½ position at the entry price specified for that alert under the signals tab. b. Place a stop order to sell the other ½ position at the entry price specified for that alert under the signals tab. With a sell stop order, you will only be filled if the market trades at or below the stop price. If not filled on the next candle, a new entry alert will be issued if the Copyright Profits Run, Inc. Page 4 of 6

5 2. Once you are filled on the entry order, for ½ position, simultaneously place the Initial Stop order and Profit Target Limit order as specified for that alert under the signals tab. For the other ½ position simultaneously place the Initial Stop order only as specified under the signals tab. 3. On close of each daily candle, go to the Signals Tab to check for any Change Trailing Stop Alerts and adjust your stops for both ½ positions. a. Both ½ positions will be stopped out before reaching the profit target for ½ Position, sometimes at a loss and sometimes at a profit. b. The profit target for ½ position is reached and the second ½ position is allowed to Run until stopped out by the trailing stop, usually at a profit as well. Pip Reversal Method Buy and Sell Short Entry Alert 1. When an alert occurs on the open of the new candle do the following: a. Place a market or limit order to buy or sell short ½ position at the entry price specified for that Alert under the signals tab. b. Place a market or limit order to buy or sell short the other ½ position at the entry price specified for that alert under the signals tab. 2a. For entry day only, once you are filled on the entry order, for ½ position the initial stop is a STOP Close Only (SCO) stop. This means that if the market closes below the stop price (for a long position) or above the stop price (for a short position) then you exit the trade on the open of the next day (On the entry day place the Profit Target Limit order as specified for that alert under the signals tab). For the other 1/2 position, the initial stop is also a STOP Close Only (SCO) stop to be treated the same as for the first ½ position. 2b. Beginning with the day after entry day & every day thereafter, for both ½ positions, place a trailing stop order as specified for that alert under the signals tab. Note: As an alternate to 2a, if it makes you more comfortable to have a hard stop in for entry day, then you can place a hard stop equal to 1 Average True Range beyond Point 3. Such a stop will seldom be hit. 3. On close of each daily candle, go to the Signals Tab to check for any Change Trailing Stop Alerts and adjust your stops for both ½ positions. a. Both ½ positions will be stopped out before reaching the profit target for ½ Position, sometimes at a loss and sometimes at a profit. b. The profit target for ½ position is reached and the second ½ position is allowed to Run until stopped out by the trailing stop, usually at a profit as well. Copyright Profits Run, Inc. Page 5 of 6

6 Disclaimer: Futures, forex, stock, and options trading is not appropriate for everyone. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can guarantee profits or ensure freedom from losses. No representation or implication is being made that using the information on this website will generate profits or ensure freedom from losses. Hypothetical performance results have many inherent limitations, some of which are described below. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particular trading program. One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk in actual trading. For example, the ability to withstand losses or to adhere to a particular trading program in material points which can also adversely spite of trading losses are affect trading results. There are numerous other factors related to the markets in general or to the implementation of any specific trading program which cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. Copyright Profits Run, Inc. Page 6 of 6

Copyright Profits Run, Inc. Page 1 of 5 Rev

Copyright Profits Run, Inc. Page 1 of 5 Rev This document describes how to manage trades identified with the Trade Alert Software. General Risk Management Ideally risk no more than 2% of your account size on any one trade. Risk means the amount