Trailing Stops

Discussion in 'Strategy Building' started by Rong, Dec 16, 2008.

  1. Rong

    Rong

    Hi everyone.I have not used trailing stops before and I have a question. I was told to use the previous low as the trailing stop. My problem is if I put my stop on before the opening "in the morning" is the previous low the day before or if I put the stop on after the market closes is the stop the day before or the same day?It sounds trivial but it makes a big difference. Thanks.
     
  2. anouka

    anouka

    Trailing stops are used to protect the benefits, using progressive exit level when certain levels are reached. What you basically do is move your T/S higher as you are making profit if you’re going long or lower if you’re shorting.
     
  3. Rong

    Rong

    I get the idea of the trailing stop but what I need to know when is the previous day low they talk about
     
  4. When????

    WHEN?????

    WWWWHHHHEEEEENNNNNN????????
     
  5. Rong

    Rong

    Thank you for the intelligent answer