There are several different ways of looking at entering, managing, and exiting trades.
One way is to enter a trade with several lots, then scale out of the trade at different
points leaving the last lot on moving the stop to breakeven and then see what happens.
Another way is to enter a trade with one lot when the risk is greatest. As the trade
develops and gives you signals to add on to the trade you enter with more lots and
close them all at the same time when the market gives you exit signals.
The best positions to add on is often after an retracment, giving you a very small
stop loss level. Most likely putting your total exposure to the market at breakeven
at the end of the U-TURN point, that way, you can always get maximum exposure
into the trade with the same amount of risk, which is BREAKEVEN or a SMALLPROFIT.
We think trailing your trade with a stop is like taking a portion of the trade off the table
because you are protecting profit. Yet you are maintaining your positions without taking
part of the potential profit off the table. We still like scaling into a trade then closing the
trade all at once.
If the market keeps going in the original direction then get back into the trade. This way
you have some profit on the table, just like scaling out.
Take a look at the following video for more insight on this subject.