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Originally Posted by cockeyedcowboy
If you want to make 20 Pips profit and your going to apply the positions as in your example, at 10 Pips steps, your down 10 Pips on each order when you open the new step this have to be added in with your profit target. If you opened short 1 lot at 1.2800 and it went up 10 pips and you went long 2 lots at 1.2810 and say it went back to 1.2800 the first lot would be at negative the bid/ask spread and the other 2 would be negative the step and the spread. So each time the direction flipped it would increase the negative were you will be needing a larger profit target not a smaller one. Also if you use a fib progression your not dealing with doubleing the positions which would require even a larger targets to get you out.
Could be wrong
The Cockeyed Cowboy
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Please reread my post. I didn't say 20 pip profit, I said $20 profit.
Also, when doubling in the opposite direction, the progression is fib, not matingale because when you open in the opposite direction, you get the margin back from the hedge positions. 1st positions uses 1 lot of margin. 2nd position uses 1 lot, 3rd uses 3, 4th uses 5, etc etc.