Scaling Out

What it means

Scaling out lets a trader realize part of a move while keeping some position open for additional follow-through.

What to watch

Partial exits change the true risk-reward profile of a trade, so they should be accounted for in performance review.

Where traders usually run into this

Scaling Out is most useful once it is tied to a concrete page, chart decision, or workflow question.

• Position Sizing keeps this term attached to a real glossary instead of leaving it as standalone jargon.
• Risk-Reward Ratio keeps this term attached to a real glossary instead of leaving it as standalone jargon.
• Trailing Stop keeps this term attached to a real glossary instead of leaving it as standalone jargon.

Best next page if this term is blocking you

If you understand the definition but still do not know what to do with it, start with Position Sizing. That page is the fastest way to see how scaling out shows up in a real glossary workflow.