Stop-Loss? I Don’t Want to Use It

Last week I reviewed an Internet site that had a program to provide trading recommendations for those investors who did not want to engage in confusing market analysis. However, they respected them because these services would usually give them more time to do more important things in their daily lives. But the really interesting thing was that most of the recommendations providers do not put stop points on their Monaco Treasure Review Trading signals. Do they do this because they think they are right all the time? Or because they never lost half their trading account with an unexpected market move of 200 pips in one deal.

However, the answer is that most of them have between 1000 and 5000 points of open positions according to their recommendations and so they practically can close the losing positions immediately and open instead. Also I must mention that they use some trading systems called hedging and frankly I do not want to Many argue about whether they are right or wrong in this. I’m talking absolutely about day traders who face big selections with the market daily.

Monaco Treasure
Monaco Treasure

Sometimes, I do not understand how a trader can be comfortable without putting a stop to loss while we see almost every month leaps in the market unexpected or calculated (I can call it the best test for those who do not feel comfortable with stop loss).

There are no specific rules for the best position to place a stop loss order. Therefore, you can consider the tips listed below as a general rule, while you can ask your teacher about the rules of placing loss orders that you can trust and most importantly be suitable for your trading system (if you already have a system). ).

Many losing traders place the same stop loss orders for all trades they execute without even trying to measure the market environment.
Do not be afraid to place a stop loss order while it is in your favor just as you should know the profit targets.
A stop loss order should not be too close to the current market price because most Stop Loss traders have already destroyed their trading accounts by using very close stop orders.
A stop loss order should not be too far from the point where you entered the trade, while it would be best not to place stop loss orders if you place them in an area that is difficult to reach.
Try not to risk more than the points you expect to win. Professional traders recommend opening positions that have the potential to earn two points of potential profits versus one point as a potential loss, but I would say that it depends entirely on the capital management system you use, because different capital management systems give different risk and return rates.
Sometimes the Monaco Treasure Review trading system may not be valid if you risk more than the recommended 7 to 10% of your account balance. This means you are trading more than the required size or you entered the market while others were preparing to leave. In this case, this will not be your fault but it will give you a clear message that “Do not trade this way anymore and consult an expert to solve the problem”
If you are convinced enough that you can win a million dollars from a $ 10,000 account by not using Stop Loss orders because you think you are the person who knows that the price will retreat from its bullish path instead of recording new highs, well, you are simply wrong.
Remember that there are no limits to the price of any currency in the Forex market. If you do not want to set predefined stop loss levels with your deals, please ask someone to tell you how to track a winning deal by using a “stop move”.
Be sure that it is better to lose one or two deals at a hundred points cost rather than sink into the latest deals that may cost you 1000 points.

How to determine the best stop loss?

Try using these tools to determine the best stop loss in accuracy:

Use the 10 pips above the initial point of the SAR indicator that appears above the candlestick for the long positions.
Note # 1: Keep in mind that you can only use ten points of the highest SAR as a stop loss point when you are in a sell position and vice versa.
Note # 2: Be aware that the level of stop loss you get from the SAR when it is very far from the point you want to enter the market. Well, that means you’re about to enter the market too late.
Use 10 pips above or below the top or bottom of yesterday if the market moves away, use the 10 pips above the top or bottom of the day as a stop loss for the long positions.
The use of 55 MMA and 44EMA muffing lines. You can place a stop loss at ten pips above one of the above mentioned lines depending on how you set the profit-loss levels for the long positions.
Note # If you are trading in a market breakout strategy you should be on the lookout for how to place loss orders for this quality and another method would be safer in this case.
Set the stop loss at 10 pips above the Bollinger Band or the lower upper range of the long positions.

If you use Elliott Wave Theory to analyze the market:

# Put the stop loss at 10 pips below the 2 point of the second wave in the uptrend when you buy on wave 3.
# Set the stop loss 10 points below the 4th wave point when you buy in the fifth wave.
# Place a stop loss at the top of the bottom of the previous wave bottom when you sell or buy based on A-B-C correction waves.

Notes:

The suggestions above are based on the four-hour framework.
These methods used to identify stop points were good with me but that does not necessarily mean they will work with you. Ask your teacher or friend who has the experience to assess the likelihood that these suggestions will fit into your Tadawul strategy.
Ten points because sometimes the price tests the support or resistance levels more than touching them.
Do not forget that stop loss is not a simple game. It is not an option available to you; it can be said to be a “necessity” and will protect you when it comes out of your hand, so update your information in this regard.
You can direct questions directly to my email s.a.ghafari@iftc.ir, I will try my best Monaco Treasure Review to give you the best possible answers. good luck.