money management /position sizing for intraday trading

#1
hello

i trade on 5 min tf . i have few queries

1) is it really feasible to scale up a winning position in intraday trading ?

2) what should be the minimum risk to reward ratio for intraday trading . suppose i trade sbi in intraday and my max loss per trade is say 500 rs. depending on my capital of say 50000.00 . based on my experience with charts i decide that sl should not be more than 10 rs. so i buy 50 shares. suppose the position goes in my favour for rs 5 . should i go for partial booking or not . in this case let us suppose that position goes in my favour by 9 rs. and then retraces to cost . what should i do or that what is a reasonable course of action . fear and greed is playing here.

suppose i also have a third condition that if any position which goes rs 5 in my favour and in such case i will shift sl to cost or reduce my sl by 5 points.

is it really good to have an exit strategy before hand in the event i get in any trade.

3) if i decide to book partial profits ie scalling down a winning position -- what should be minimum risk to reward ratio which i should target and how much of the position should be partially booked.

hope that forum members will share their valuable insights .!
 
#2
Experienced intraday player here. :)

1. Because of limited time period in trade (in case of intraday) I dont scale up intraday positions - to me its something that doesn't make sense. So in short, I don't think you should scale up intraday positions.

2. I personally do not use or like profit targets, I let the successful trade run until end of market. However I always use stop loss. But if you must use profit target, do not settle for less than 1.5:1 reward/risk ratio. That means profit target = 1.5 x sl
Changing SL on winning position works in your favor but requires good backtesting to know what works for you.

3. Can't say as this will depend on your strategy and trading style.
 
#3
Experienced intraday player here. :)

1. Because of limited time period in trade (in case of intraday) I dont scale up intraday positions - to me its something that doesn't make sense. So in short, I don't think you should scale up intraday positions.

2. I personally do not use or like profit targets, I let the successful trade run until end of market. However I always use stop loss. But if you must use profit target, do not settle for less than 1.5:1 reward/risk ratio. That means profit target = 1.5 x sl
Changing SL on winning position works in your favor but requires good backtesting to know what works for you.

3. Can't say as this will depend on your strategy and trading style.
I don't think it would be beneficial if you are booking partial profits when your account size or trade size is pretty small. As with such a trad, you would not be to make much of a return. Even though on paper you would have made say 2% return, would the absolute amount satisfy you? I always always let my positions run because for me, the absolute return needed to an amount that would reward the effort that goes into it
But I agree with you that you need to have strict stop losses. But isn't it true that more than the amount of loss defining your SL, the price of the stock should define your SL?
 

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