Watching $EURUSD consolidating after that move yesterday. Still trying to get my head around scaling. If a trade is moving in my favor, but hasn't hit my full target yet, do you guys ever scale in more, or just let the initial position ride? Conversely, if it goes against, do you scale out partially before your stop is hit, or is that just messing with your predefined risk?
I generally let my initial position ride if it's moving favorably, as scaling in can quickly change your average entry and risk profile. For positions moving against me, I stick to my predefined stop; partial scaling out before then can become a slippery slope, often just delaying an inevitable stop-out while tying up capital.
My take? If it's going in my favor, I usually just sit there wondering if I should have gone bigger to begin with. If it's going against me, scaling out early just sounds like a fancy way to say I'm cutting my losses before they get too embarrassing.