Bitcoin price struggled to clear the $17,000 resistance - Risk/Reward
Bitcoin price struggled to clear the $17,000 resistance, but might dive below the $16,000 support.
Bitcoin attempted an upside break above the $17,000 resistance, but failed.
At the moment the price is trading above $16,300 and the 100 hourly simple moving average.
Risk/Reward Ratio is the ratio of the probable risk to the probable profit in a trade. With R:R > 1:2, you only need to make 34% of winning trades to be profitable. The risk to reward ratio in my trades is always above 1:2. Those. every time I open a trade, I assume that in case of a negative outcome, I will lose 1.u. and earn 2.u. or more.
When considering the next potential trade, always pay attention to how much you can lose and gain in it. Be sure to use stop losses and limits to close the trade to accurately indicate your R:R. Don't risk losing more than 2% of your deposit on each trade (this will help protect you during a series of losing trades).
Having accumulated statistics on transactions, over time you will be able to track your mathematical expectation. And you will be pleasantly surprised when, making only 30% or 40% of profitable trades, you will see a positive checkmate. expectation. This will mean that you are a profitable trader in the long run!