Using Oanda, and suddenly looks like the yen just skyrocketed in value, but i cant find any news reason for this. any1 know wtf happened?
You can find some comments here.
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ooooh. thanks. Really glad i was long on the yen today, Gotta start using trailing stops, coulda made bank
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I was in front of the laptop and It happened in a matter of seconds with mUSDJPY, I lost my entire account. It was so fast that I want to know if an Stop Loss order would have been helpful.
I ask this because I was a small trader, maybe by priority it have would be the same for me.
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wasn’t just yen. AUD and NZD went crazy too. these events don’t happen often, but they do happen. that’s why I have started setting stops on all my orders. sorry for your loss, hope you can recover. take a break for a few days @apintoz
having a stop loss order does not guarantee you will get filled at the price you set, but in most cases you’ll be filled somewhere close to it.
One of the first things i remember reading on Forex websites was how important it was to always set a SL. is it really that common to not use them?
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I had a profit on USD/JPY and would’ve slid into a beautiful come-up had I left the trade open. I’m kind of like darn it but the market just sent a swift kick to open off the year. More importantly we have to be on our toes and prepared for anything.
I hope not but I fear so…
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I have to agree that was my bad, I put stop losses when im away from my laptop, but I literally was in front of it so I couldn react. I remembered those movies when the Businessman Calls the broker and says SELLLLLLL
Eh… well lesson learned i guess. hope you were trading on a small acct. Cheers
The Yen has been strong for 24 hours…
CADJPY, NZDJPY and USDJPY
Thank you CSW…
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no, i think it’s very, very rare indeed
there are always a very, very few people who like to make a lot of noise with their claims that trading without a stop loss can be justifiable or sensible
they’re people who love being contentious and controversial, and arguing in public to try to make themselves right (sometimes even by talking about what they imagine is “hedging”, which actually has nothing to do with trading spot forex against a counterparty broker!)
it’s an interesting phenomenon, because counterevidence (of which, of course, there’s always plenty about) seems if anything to strengthen their weird beliefs and reinforce their position and argument
there are never many of them posting in forums, anyway, and eventually - of course - they disappear and stop misleading other people, but it can sometimes be a long wait before inevitability takes care of them!
Next time some “trading expert” tells you to risk 2%, 3%, 5% or more in a single trade, remember this day.
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there are ways to trade that involve not using stop losses, such as hedging or the use of options to manage risk. some people like to close positions themselves having a :“mental stop” but that takes a lot of discipline and fortitude. still, there are a lot of people who trade without any kind of stop I think.
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Anyone who thinks a stop loss gets you out at that specific price, you need to go back to demo trading.
A stop loss just tells your broker “get me out NOW”. If the nearest bid or ask is 400 pips away, you will get filled at that price. If you risked 5% on a trade that had a 50 pip SL, and the nearest bid is 400 pips away you will get out with a -450 pip loss, or a nifty 45% loss.
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sorry if I was unclear. generally you get filled near the price, but when a flash crash happens you’ll probably get very poor fills at quite a distant price. my bad. so even if @JosephJoeBarren had an SL today, depending where it was, it might not have been filled near his stop price .
I’m aware that in flash crashes SL’s don’t work ideally, but trying to claim they aren’t worth having because a flash crash makes them detrimental doesn’t seem like a good argument to me
So in the end, this phenomena coudl have defeated a Small trader account? Even with stop loss?
It could have defeated any trader of any account size, even with a stop loss, if they were not practicing smart capital preservation rules.
Yo seem to know what you are talking, any book that talks about it?
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