The only time I use a stop loss order now is if I have to leave the computer for awhile. I used to set them all the time then watch in agony as the market moved inexorably to it, usually to the very penny, activated it, then gleefully headed back the other way. I know this is all in my head because you donât remember the ones that arent hit, still I had a feeling that something wasn't right. Then I ran into the Phantom. A lot of you have probably already read "The Phantom's Gift" and it may have already come up here on the board but for those of you that haven't you can find it at daytradingstocks.com under one of the education headings. The Phantom is a futures trader primarily who has been around for awhile. The book is kind of a hard read as its in the form of conversations and there are a lot of side trips but there is a lot of good information there if you take the time to go through it. Like a lot of traders I accepted the phrase, " let the market prove you wrong", as an axiom. The Phantom says that this is opposite of what you should be thinking. He says YOU must decide when your wrong, not the market and this made a lot of sense to me. A lot of times I would let the market move toward my stop long after I knew my trade was wrong. Now, as soon as I get the feeling I'm wrong, I'm outa there. It has increased my bottom line. I highly recommend reading this work if you haven't already done so.