The risk-reward ratio (often written as R:R) is one of the most important concepts in trading and investing. It compares how much you stand to gain on a trade versus how much you could lose…
A take-profit orders is an automatic instruction to sell a stock once it reaches a specific target price, allowing you to lock in gains without constantly watching the market. It is the counterpart to a…
A mental stop is a stop-loss strategy where an investor decides in advance at what price they will exit a losing trade—but does not place an actual stop order in the brokerage system. Instead of…
A hard stop is a type of stop-loss order that is formally placed inside your broker’s trading system and sent to the market according to preset rules. Once entered, it exists independently of your emotions,…
