When do you use profit-targets versus trailing profit stops when taking profits?

Discussion in 'Trading' started by helpme_please, Aug 27, 2020.

  1. Wide Tailz

    Wide Tailz

    Targets seem to work better with tiny patterns on minute charts (daytraderz).

    Trailing stops work better for position traders or fundamental investors. They can also work with automated strategies in a short time frame. Unfortunately they are reactive, so slippage not bad until you really need to get out...
     
    #11     Aug 29, 2020
  2. Great post BTW, but I am inclined to use trailing stops even in a rangebound market. What if the range is about to be broken out of? What if the top of the range that I assume, is not going to be reached? I would tighten my trailing stop at the top of the range may be, and if the range is broken out I get back in.
    The market is unpredictable and I accept it.
     
    #12     Aug 30, 2020
    Tradex likes this.