When to Take Profits

When to Take Profits. One smart way to take profit in a successful trade is to put an order in to close a position when the next support or resistance level is reached. This is one of the easiest ones to do, as long as you understand support resistance. The theory on this, of course, is the value will be able to avoid any whipsaw that the market may produce as it undulates along its path. When to Take Profits Moving average crossovers also serve as take-profit signals for some traders. This tends to be a favorite of the longer-term trader, as it is a trend-following system. This approach allows for large areas for the market to move around, allowing you to…