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My risk management is very "risky" because I don't usually have definied stop losses, especially trading against the trend (if you short because something is "overbought" that thesis means you can't really find a good stop sometimes).
Yet, that means that a lot of losing positions get closed at BE on dips/bounces instead of getting stopped out at prices that often end up local tops/bottoms. It reqs me to often watch charts and waste a lot of time. I believe that is one of the keys to my success
This trading system goes against classical trading rules because your risks are much more vaguely defined. But I believe, if you are able to combine it with good position sizing, knowing how to choose between reducing risks of losing position or doubling down this becomes one of
the very best setups. Why? Mathematically it makes a lot of sense. If you strictly define your targets/stops before opening a trade, you do not have information that you will have when the target/stop is near. The chart will tell you much much more at that point of time.
The big issue that this system is facing is that for most traders it makes it very easy for them to not have any plan at all. Having some plan is much more important than executing it if you know that you can modify it on your way and still follow technical info, not emotions
