Trade Management
The fourth pillar: pre-defined rules for stop loss, targets, partials, breakeven, and manual close criteria
Trade management is everything that happens after entry — and all of it should be decided before the trade. Stop loss placement goes below the entry leg swing (non-negotiable). Targets come from the next 4H structural level, not from fixed R:R numbers. Partial strategies include fixed R:R partials (50% at 2:1, move to breakeven), structure-based partials (close at first intermediate supply/demand zone), or no partials (full target or stop loss). Breakeven triggers are structural: move to breakeven after the entry leg breaks in your direction, or after your first partial. Manual close criteria include thesis invalidation (4H structure shifts against you), no reaction within a reasonable time, and approaching high-impact news. Management decisions made "in the moment" are emotional — the plan removes emotion from every post-entry decision.
✓How to Recognize
- •Stop below entry leg swing, target at next 4H structural level, minimum 3:1 R:R
- •Partial strategy chosen in advance: fixed R:R, structure-based, or no partials
- •Breakeven after entry leg structure breaks or after first partial
- •Manual close criteria pre-defined: thesis invalidation, no reaction in time, news approaching
⚡How to Avoid
- →Deciding partials or breakeven "in the moment" based on feelings
- →Using fixed R:R targets that ignore market structure (supply zone at 2.5R, targeting 3R)
- →Moving to breakeven too early (before entry leg breaks = getting stopped on noise)
- →Holding through thesis invalidation hoping for recovery