When risk is really low, reward does not really matter

Risk a little to make more than a little

There are times when a technical level is important enough to just focus on the risk, and forget about the reward. In other words, if you trade at a key level where risk is only 5 pips, you only have to see the market move 10 pips for a 2:1 reward to risk ratio. If you make 20 pips, you have a 4:1 reward to risk ratio. That is not a lot of movement in a forex market that is moving.

So, when risk is really low, reward does not really matter.

The trick is finding those low risk trades. In this video I show you what I mean by looking at the NZDUSD.

I hope this video encourages you to find more low risk trades in your daily forex trading.

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