How Many Pips Do You Aim For?

This is a rough generic breakdown of my pip targets when I trade.

Based on a ton of different things, I on average aim for 20-100 pips a trade.

-Mini-breakouts, or fakeouts, I aim for 20-30 pips. This includes seeing a big spike in your favor, but you cannot spot the catalyst. Phantom spikes I usually ride until it stalls, then exit immediately. On average these spikes are 30-40 pips.

-A sentiment move (or a session move), I aim for 50-60 pips.

-a catalytic driven move, or real breakout, I aim for 80+.

-When the box SIZE (from top to bottom) is between 20-30 pips, Don’t trade inside the box! This is breakout only!
-When the box SIZE is between 40-60, you CAN range trade within the box, entering at the ends, provided that there is no catalyst in this period to drive price to a new high/low!
-When the box size is bigger then 80 pips, you are better off looking for spots of mini-consolidation to trade from(faster time frame). However, under a no-catalyst low volatility market, You can enter trades at the end (which is kind of rare). A good rule of thumb is, for these trades, the FIRST test of the box-ends is a good one. The 2nd one is risky.

I never set a hard take profit for a real breakout. And also, after a real breakout hits, the market tends to not give you any trades the following day, so you should take the following day off.


3 thoughts on “How Many Pips Do You Aim For?”

  1. Hello! Would you mind if I share your blog with my myspace group? There’s a lot of folks that I think would really enjoy your content. Please let me know. Thank you

    • Yeah that is perfectly fine, I’m trying to stick to the ‘hide nothing, show everything’ rule of life. Maybe you guys can critique and help me improve my trading as well 🙂

  2. You can certainly see your expertise in the work you write. The world hopes for even more passionate writers like you who are not afraid to say how they believe. Always go after your heart.

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