It is easy to get into the market, there are so many different techniques...but what about getting out? There is a vital difference between a trader who has an exact exit plan or none at all. It doesn't matter if the positions are in a profit or going down in flames, as a trader you really need two exit strategies: one to handle profits and another to handle losses. And when dealing with profits, you also need to know how to protect them.
Therefore, exit planning covers a stop-loss strategy to get out of bad trades, a profit-protection strategy to exit winning trades, and another strategy to save your neck in case of unexpected risks. You'll need all three tactics in every trade, because anything can happen once you hit the order button.
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