Curious about scaling out vs. profit taking

asked by u/dina.khalil · 1d · 1 answers

Hey everyone, still pretty new here, and I'm trying to get my head around managing winning trades. I hear a lot about scaling out versus just taking profit at a predetermined level. Is there a general consensus on which strategy tends to be more effective for, say, mid-term swings in something like $SPX, or does it completely depend on the trader's style and conviction?

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  • u/swing_samir· 1 pts· 1d

    It definitely depends on your personal style and conviction, but for mid-term swings in something like SPX, I find scaling out can sometimes help capture more upside while still locking in some profit early. What kind of drawdowns are you typically comfortable with on those mid-term trades?

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