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Scaling out — partial exits
Locking risk-free runners.
9 min · Beginner
What you'll learn
- Plan partial exits at pre-set targets before entering a trade
- Calculate the blended R-multiple of a trade with partial exits
- Explain the trade-off between locking profit and capping the average win
Key takeaways
- Scaling out sells a position in planned pieces, often thirds at T1, T2 and a trailed runner.
- After T1 and a stop at breakeven, the runner becomes a risk-free position, barring gaps.
- Blended R = total dollar result / 1R; in the example, outcomes ranged from -1R to +2.17R.
- Partials reduce the swings in results but do not automatically increase expectancy.
- The trade must still qualify on its T2 or final target of at least 2R.
Glossary
- Partial exit — Selling part of a position at a pre-set target while keeping the rest open.
- Runner — The final portion of a position left open to capture a larger move, usually with a trailing stop.
- Blended R — The total dollar result of all exits in a trade divided by 1R.
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