RISK TO REWARD is one of the MOST important things in trading. And… — FXFARO | SIGNALS & ANALYSIS (old) — TG.ME

RISK TO REWARD is one of the MOST important things in trading.

And this is exactly why I don't like the typical TP1, TP2, TP3 strategy.

Let's keep it simple. Imagine you risk 1% to potentially make 3%.

That's a clean 1:3 RR.

But then you start closing your position:

TP1: close 50%
TP2: close another 30%
TP3: only 20% remains

Now here's the problem... Even if price eventually reaches TP3, you did NOT make the same profit as holding the full position to a 1:3 target.

Most of your position was already closed at the smaller targets.

So people scream:

"TP1 HIT "
"TP2 HIT "
"TP3 HIT "

Looks amazing on Telegram...

But what did you ACTUALLY make relative to what you risked?

That's the number that matters.

This is why I prefer ONE clear TP.

Before entering, I know my risk.
I know my target.
I know my potential reward.

If I'm risking 1% for a 1:2 or 1:3 setup and FULL TP hits, the entire position captures that move.

No TP1.
No TP2.
No TP3.

Stop counting the TPs😂

Start calculating how much MONEY you're actually making compared to how much you're risking.

That's what Risk to Reward is about. 🔥
@fxfaro
September 2, 2026 197 2