When to close a trading position on ?

How and when to close trade deal? This topic is probably on the mind of every trader. Generally speaking, exiting a position is the most difficult stage in trading. And for me personally as well. Making a deal in the market, each person is almost sure that he is right (or his system is right), though doubts are always present, and it is normal, nevertheless "something" makes a person do it this way and not that way (i.e. buy or sell).

Why is it so difficult to get out of a position?

It's easy to make a trade, just press the "Buy" or "Sell" button, and that's it. But when it comes to closing a position, there are always doubts: "Can we not rush, the market can go even further?" or "What if this is the end and if I do not exit now I will lose all my profit? In fact, the trader is between two fires - between greed and fear.

The cure for these experiences may be TakeProfitBut then again, you have the following thoughts: "what if the price does not reach the level of TakeProfit" or "what if TakeProfit set too close and it makes sense to move it farther away?"

As a rule, fear takes over (it is a natural reaction), and a person closes a position (as they say, better a bird in the hand than a crane in the sky). This is not always true, as I have already said, those natural reactions that are embedded in us since childhood are not applicable to the market at all and are a trader's worst enemy. But also It's not a good idea to overstay your position either.The market is often "noisy" and very dangerous to be in it. A profit from a transaction can easily turn into a loss.

How do I close a trade in this case?

I can't answer this question unequivocally. The point is that it all depends on the situation. The ability to understand it comes with experience. There is no single rule in the market. I personally try to hold every deal till the last one and get the most out of each deal. Some people set a fixed value of TakeProfit (for example, 100 points), I can not do it. I'd rather play to zero than go out early. It is not so difficult to take risks, the main thing that the price initially went in the right direction, and then you can put Stop Loss at breakeven.

What is your advice?

Imagine what you are buying, hoping to bullish trend. As a rule, the level of TakeProfit is the nearest resistance. You have 2 options: either exit the market when the price reaches this level and the order is triggered, or take a risk and wait for this level to break through and move to the next level... and then choose again (exit or continue?).

The choice of how to close a trade is always up to you

I can only advise sometimes pull up transaction history and look on the chart when you entered the market, when you exited. You will immediately remember what made you do it this way and not that way. Analyze your history and make conclusions, it will undoubtedly improve your trading.

In general, the analysis of past transactions is just necessary for your development, as trader.