Hubert Senters here.
Let’s take a look at Netflix. I’m not going to watch you. I’m going to walk you through one way that I think about risk and how I think that you might want to think about it too. So I can’t really scrunch everything in here because I’ve got like six different screens on this one computer and I’m trying to condense it into one. So it’s a little scrunched up so I apologize for that.
But anyway let’s get started. So in this scenario that we’re going to walk through what I’m looking here is I’m just looking at the UBE pro on top of Netflix on a 10 minute chart and you pick a timeframe you want.
What I want you to focus on here is the plus 1 point or the $1.7X that means on that trade based upon our entry and our risk versus our exit and then our trailing stop-loss so target 1, target 2 and trailing stop-loss would have gave us an exit of $1.7X. That’s a good thing.
The next trade that you can see kind of hitting right here is minus $1.0 so I’m still $0.7. And then the next trade is oh no minus 1 point 1, I’m negative. And then then there’s another trade here minus one. Let’s just say that’s a winner or that’s a loser, that’s a loser because that’s what they are.
Small winner, small loser, small loser, small loser and this next trade gets taken into account like it’s right here the long at yesterday’s close target 1, target 2 trailing stop-loss. That is $18.3X. So that’s how I think about risk. I think it’s a good way to do it as opposed to what’s the success ratio. What the hit ratio is like is this thing 80% accurate? I don’t really care about that.
I care about the amount of risk I’m taken and the amount of reward I can potentially get. So I like little risk, little risk, little risk followed by a bigger gain is what I’m looking for. I’m not saying it’s the best way. It’s just the way I look at it. And I just want to open your mind up to that.
So Mark’s going to be doing a webinar on ‘’How to Trade Minnow Risk to Target Whale Profits’’ that’s going to be Friday, April 20th at 12PM EST. I will introduce Mark then I’ll turn him loose and I will help him with Q&A. We’ll show you how I use this thing.
Click CLAIM MY SPOT NOW to register for the webinar. Heads up. There are already over 3000 people registered for it because it’s a popular topic. So this is what he’s going to be covering and I will see you Friday at 12PM EST.
Hubert.
