Setting stops on longer-term trades

Discussion in 'Trading' started by farmerjohn1324, Mar 28, 2020.

  1. dozu888

    dozu888

    The market doesn’t even known where your break even is lol.

    stops are a psychological crutch. It gives the trader no advantage whatsoever.
     
    #11     Mar 29, 2020
    qlai likes this.
  2. qlai

    qlai

    Agree 100%. Beyond swing trading, hard stops don't protect you. Have a mental stop if you want and if hit, decide what to do. Proper position sizing is your stop. I can only imagine the pain people felt during the flash crash when they were robbed of their stocks.
     
    #12     Mar 29, 2020
    dozu888 likes this.
  3. fan27

    fan27

    dozu888 and his "ProBoyz".

     
    #13     Mar 29, 2020
    They likes this.
  4. ironchef

    ironchef

    Based on my own painful experience putting stops on FB, GOOGL, AAPL... which I was planning to hold for more than a year was a disaster. Knowledgeable people simply drove the stocks down and picked us off those stops then move the stocks up quickly way beyond those stops. I am seeing that happened to BA, folks that put a very "wide" stop at $100 are all regret it now.

    Day traders need stop, absolutely, short term swing needs stop for sure but any other trading styles need to be very careful.
     
    #14     Mar 29, 2020
    qlai likes this.