Maximizing Profit Exits On Trend Days (Part 2)

Key Takeaways
• To exit the smaller independent setups you use to get on board the trend, you simply use the
exit techniques you learned earlier for those setups. The only difference here is that since
trend days have such high directional conviction, you don’t need high reward-to-risk ratios to
warrant a trade. The accuracy will be quite high if you’re timing your entry patiently according
to the correct principles we’ve discussed prior.

• Of course you should always be shooting for as high of a reward-to-risk ratio as possible,
especially during morning and well-timed afternoon trades. But during the mid-day trading
where things can get slow and choppy even on trend days, you can often have high odds 1-to-1
trades that still provide good edge- selling at resistance or exhaustion for a high odds pullback,
or getting long at support or exhaustion for a high odds bounce.

• In terms of scaling out, the same rules apply for these trades that do for the zone fade trades.
If your conviction is high that you’ve caught great trade location, then don’t scale out. If you
feel you have a good short-term entry but are unclear as to whether the move could ensue
before putting in a larger retracement, scale out of half and look to ride the rest of the
position. Or just take the whole profit at 1-to-1 if you’re timing high-odds counter-trend
retracements well.

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