Thread by @jordanfogel

Ever let a winning trade turn red?

Or see price take off as soon as you cover your position?

Here's EXACTLY how I scale in and out of positions to stop THAT👆 from happening (from a full-time trader):

Scaling into positions for me is pretty simple

I trade based off supply/demand, so I'll typically get in at the top of a demand zone or the bottom of a supply zone with 100% of my position

There are times where I will scale into a position.

When price dips into the 50% retracement (FVG) and there is still decent room to demand below, I'll typically get in 25% of my position there.

I'll then add a full position if price dips lower to demand

I don't advise adding to winners

I only advise adding to losers IF it's part of your plan.

You should always have a stop in place and get out at your stop

NEVER add to your position after your stop has been hit

That's not what I'm advising

I always make sure to get in a very small position early in case I miss the real entry.

It allows me to still have a decent entry if price drops lower AND allows me to catch the move if price decides to rip

Alright, let's talk about exits👇

Your exit strategy will ultimately depend on your overall strategy

However for ALL small accounts, I'd recommend NOT to scale

Scaling exits should really only be for accounts that can afford to take multiple contracts (5-10+)

Otherwise, it's better off just taking 100% off at your first target

If you do have a larger account, here's how I'd recommend setting up your exit strategy:

IMO, it's best to only have 3 targets/exits MAX.

After 3, there's really no need to complicate your trading anymore

I advise taking MAJORITY of your profits out at first target...

70-80% of your position

*I like moving my stop to breakeven after I've taken my first partial

After you've taken your first partial, that's when you can leave 20-30% for runners.

You can either take the remaining runners out at your second target

or

Take half out at your second target and leaving 10-15% for your last target

The larger your account size, the more targets I recommend you have

I also like moving my stops up after each target to make sure the trade doesn't go red

Why do I use this scaling strategy?👇

By taking majority of my size off at my first target, it allows my strategy to keep a decent R/R rate, assuming I move stops to breakeven

It also leaves my trading more "stress-free" since I have less of a position on

Allows for the trade to come back breakeven and I've already taken most off

On top of that, I have 20-30% of my position as runners incase this stock starts to explode

Doesn't happen often, but sometimes the remaining 20% ends up netting me more profit then the original 80% did

At the end of the day, it's up to you on how you want to scale

These are the methods I found most effective, depending on your account size and your strategy

I hope you learned something from this thread

Likes + RT's appreciated❤️

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