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Exit Strategy
| Exit Strategy | The conditions to exit an open trade. The exit strategy must be determined before the trade is entered. | |
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Additional comments:
The exit strategy may be completely objective, such as trailing the stop at the one-bar-high/low following a momentum reversal. Or the exit strategy may be more subjective and adjusted as a market progresses. Even if the exit strategy is more subjective, the objective of the trade and general conditions to consider exiting the trade should be defined in advance.
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Related Terms | ||
Entry Strategy The strategy to determine the entry conditions and specific entry and initial stop-loss prices. ... Bearish Reversal When momentum changes from a bullish to a bearish trend. With two-line indicators, when the fast ... Bullish Reversal When momentum changes from a bearish to a bullish trend. With two-line indicators, when the fast ... | ||
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