The Perfect Exit Strategy Every Trader Needs

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i think that you can wrap up entries

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fairly quickly uh but exits are really

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really difficult a lot of exits of

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course are a part of your individual

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trading plan there's no right there's no

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wrong i think that you really need to

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know where you're going to get out as

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you put the trade on when you're right

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and when you're wrong now it could be

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something uh as simple as trailing a

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stop-loss up behind you and largely in

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the stock market in shares that are uh

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growing their uh profits aggressively

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and safely that are rising i will

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certainly trail a stop-loss up behind

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them a ratchet stop-loss that locks in

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some profit uh in the stock market I'm

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very wary of when the general market

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turns down and I have a signal in the

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general market that tells me that the

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general market is falling uh it's called

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a confirm call and I get a confirmed

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call up a confirmed call down very very

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strong signal that tells me when the

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general market's falling based on um

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price and based on market breadth uh and

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I have a every evening I look at all of

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the companies in the London market that

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that are rising and all the companies in

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the London market that are falling and

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every day I keep up to date and it's

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done automatically uh what I call the

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buy sell ratio which is a measure of the

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breadth of the market certainly if the

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market starts general market starts to

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fall then I shall start to ease out of

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certainly some stocks that haven't

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performed on the way up uh

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or the small caps you got to be very

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careful with small caps when the general

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market falls because uh they are

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invariably bid up by small traders and

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when the sentiment of the market turns

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all those small traders go away and

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you'll find uh that uh the bids just

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disappear in the forex market uh you

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could look at something uh like old

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highs i think as a short-term trader you

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need to be selling into strength into

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some form of strength i myself uh look

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at Fibonacci levels for exits and namely

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Fibonacci extensions uh and uh when the

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market pulls back it tends to run to a

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1.618 extension of the last pullback uh

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and uh so I'm looking at Fibonacci

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levels to sell into those Fibonacci

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levels uh and if I can get in on a

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pullback and sit and add onto a 1.618

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618 extension uh and then start to ease

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out of the position up there then I'm

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quite happy with