Do you think a fixed stop-loss and target can help in the long run? Say you had a fixed stop-loss of 20pips and a fixed target of 40pips. So you lose 20 dollars on a standard lot when the trade goes against you, but when you profit you cover your loss and again an extra 20dollar. Placing always a stop loss and take profit immediately when you open a trade it can always is good for your trading career. Also if the profit is always bigger than the lost then you are in the right track. All strategies should be like that.
I have fixed stop loss but I always move it up to break even if need be so I do not end up losing what I have gained. But I do not like to pull it down because I always end up losing more. The worse I can do is monitoring it and pull out early.
I do not believe on fix targets , They are just to make a plan in our mind that these targets are possible for profit or loss. They help to manage accounts. Stop loss is in benefit if we are good in makin analysis jut putting stop loss is not a good trading it can make sure losses for you.
i was looking for a different thread but i cant find it … its stop loss related so, i felt i needed to share this it might come in handy for someone else
:
i usually dont use stop losses
like ever
i mean never … but today, last week of the year and for this year it would be great to stop at exact zero for having less complications (zero profit) SO , for once i thought (again) why not try it the way of the ancients, and right before the fomc meeting i put in two trades, about 25 pips from current (then-current) position, one short, one long, EACH with a stop loss …
yea, you can feel it coming there, i also put a trailing stop in
now … i can say if i just did what i always do i would not have lost one cent and made just a little
but instead, at the very first minute the chart whips down (down?), the trailing stop does NOT hit before it whips back up and hits the stop loss, it should have closed at 7 pips because of the trailing stop, but since that didnt hit it closed at minus 25 because of the backlash
THEN it jumps up to hit the other trade, then that one goes just a little short of getting to the trailing stop point and it goes back down and hangs there somewhere between minus 8 and minus 15
so, once more i find myself confirmed that the classic way is only made to make me lose money, just fyi
…
and indeed, while on another account where i just did what i normally do i get like 1% because of the farc meeting, on the main one where i risked about all profit i made on classic theories the short trade has gone bust because somehow the trailing stop did not hit before it whipped back, the theory was sound
in practice : it got ****ed by connection or server issues, like said, it should have give 7 pips profit
in theory, if all worked as it should have
so the the other trade keeps going down so i close it before it hits its stop loss to prevent a little more,
so by now its back up …
good thing im at my babysteps and i dont have real money yet, i will learn a fine lesson from this i had already learned, but reading all these fora and ‘experts’ always tempts me to try it by the book and there we are : the book cost me money
again so … i’ll go with what works for me
again … until i somehow get convinced to go with what works for someone else
again … zero loss aint half bad for the first eight months anyways, take heed with trailing stops during rush hours and stop loss during whiplashes, i think thats the message here
