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Stoploss

here are 4 basic stop-loss methodsStop loss is a trader's least favorite word But it is a condition for long-term survival in the market Most traders have a confused or wrong understanding of stop loss There are two types of traders who lose more than 50% of their money The first type, the traders who don't stop-loss, they simply don't recognize what is the point of stop-loss? Stop loss may be a new mistake, but not stopping is certainly a mistake, and although most people are reluctant to take a loss of capital, given the limited time and money available, it is wise to trade a small local loss for a big picture initiative. The second type of traders, the indiscriminate stop-loss traders, after taking specific losses because of non-stop-loss, go to the other extreme, indiscriminate stop-loss. This can lead to an account with less and less money and then back to the same old path of not stopping and swinging between stop loss and no stop loss over and over again. The correct stop loss is your seat belt when driving, not to ensure that you will not necessarily crash, but to ensure that you crash, the damage is reduced to a minimum, the correct stop loss in order to sustained and stable profits in the market, before entering the transaction has a complete trading strategy, and clear stop profit and stop loss position in advance, follow me, so that part of the people first learn to trade. here are 4 basic stop-loss methods 1.Fixed point or stop loss percentage. 2.Stop loss at support or resistance positions. 3.Stop Loss at Breakout Level. 4.Trend or swing highs and lows.
NASDAQ:NFLX
by CryptoParadiseVIP
XAUUSD : Gold SVB Ralley Near to EndOANDA:XAUUSD Gold is trading in extreme bullish pattern Gold is rallied more than 1000 pip's in last 1 week Big reason is downfall of banking sector collapse of SVB and other banks people shifting money in precious metal like gold 1865 is touching of upper trendline of rising wedge Rising wedge is a bearish reversal pattern Gold will target 1920 area and in extension 1890 area this month ❤️ Please, support my work with follow ,share and like, thank you! ❤️
OANDA:XAUUSDShort
by INVESTRONE
3
RISK MANAGEMENT STRATEGIES There are several risk management strategies that can be used to help mitigate potential losses and increase the chances of success in any investment or trading endeavor. Here are a few common risk management strategies: Diversification is an essential risk management strategy that involves spreading your investments across different markets, asset classes, and securities. The goal of diversification is to reduce the overall risk in your portfolio by minimizing the impact of any single investment or market on your portfolio. When you diversify your portfolio, you spread your investments across different asset classes such as stocks, bonds, and commodities. You also diversify across different markets, such as domestic and international markets, and across different sectors, such as healthcare, technology, and consumer goods. By diversifying across different asset classes, markets, and sectors, you can help balance out potential losses in any one area. For example, if you have all of your investments in the stock market, you are vulnerable to a significant loss if the stock market experiences a downturn. However, if you have some investments in bonds or commodities, those investments may perform well during a market downturn, helping to offset your losses in the stock market. Additionally, diversification can help you take advantage of opportunities in different markets and sectors. For example, if the stock market is experiencing a downturn, other markets, such as commodities or international markets, may be performing well. By diversifying your investments, you can take advantage of these opportunities and potentially improve your overall returns. It's important to note that diversification does not guarantee a profit or protect against loss, but it can help reduce the overall risk in your portfolio. However, diversification requires careful planning and ongoing management. You should regularly review your portfolio and make adjustments to ensure that your investments remain diversified and aligned with your goals and risk tolerance. Diversification is a critical risk management strategy that can help reduce the impact of any single investment or market on your portfolio. By spreading your investments across different markets, asset classes, and securities, you can help balance out potential losses and take advantage of opportunities in different areas. Setting stop losses is a vital risk management strategy that involves setting a predetermined price point at which you will sell a security to limit potential losses on any given trade. Stop losses are commonly used by day traders and other active investors to protect their portfolio from large drawdowns and minimize potential losses. The concept of a stop loss is relatively simple. When you buy a security, you set a price point at which you are willing to sell the security if the price drops to a certain level. This level is known as the stop loss level. If the security's price reaches the stop loss level, the security is sold automatically, limiting your potential losses. The main benefit of using stop losses is that they allow you to manage risk effectively. By setting a stop loss, you limit the amount of money you can potentially lose on any given trade. This can help prevent large drawdowns and protect your portfolio from significant losses. Stop losses are also valuable because they help you avoid emotional trading decisions. When you have a predetermined stop loss level, you can take the emotion out of trading decisions. This can help prevent you from holding onto losing trades for too long, which can result in even greater losses. However, it's important to note that setting stop losses is not foolproof. In fast-moving markets or markets with low liquidity, a stop loss order may not execute at the desired price, resulting in losses greater than expected. Additionally, setting stop losses too close to the market price may result in the order executing prematurely, potentially missing out on gains. Setting stop losses is an important risk management strategy that can help protect your portfolio from significant losses. By setting a predetermined price point at which you are willing to sell a security, you can limit potential losses and avoid emotional trading decisions. However, it's essential to use stop losses carefully and adjust them as needed to ensure that they are aligned with your goals and risk tolerance. Position sizing is an important risk management strategy that involves determining the appropriate amount of capital to allocate to each trade based on the level of risk involved. Position sizing is critical because it helps you manage the risk in your portfolio and avoid overexposure to high-risk positions. The idea behind position sizing is to ensure that the amount of capital you allocate to each trade is proportionate to the level of risk involved. For example, if you're taking on a high-risk trade, you'll want to allocate less capital to that trade to limit the potential losses. Conversely, if you're taking on a low-risk trade, you may allocate more capital to that trade. Position sizing can be calculated in various ways, but the most common method is to use a percentage of your account balance for each trade. For example, if you have a $100,000 account and you decide to risk 2% of your account on each trade, you would allocate $2,000 to each trade. By carefully managing position sizing, you can limit the impact of any single trade on your portfolio. If you allocate too much capital to a single trade, you run the risk of losing a significant portion of your portfolio if that trade goes wrong. On the other hand, if you allocate too little capital to a trade, you may miss out on potential gains. Position sizing is also essential for avoiding overexposure to high-risk positions. If you have too much capital allocated to high-risk trades, you run the risk of suffering significant losses if those trades go wrong. By carefully managing position sizing, you can ensure that you have a well-diversified portfolio with appropriate levels of risk. Position sizing is a critical risk management strategy that helps you manage the risk in your portfolio by determining the appropriate amount of capital to allocate to each trade based on the level of risk involved. By carefully managing position sizing, you can limit the impact of any single trade on your portfolio and avoid overexposure to high-risk positions. The risk-reward ratio is an important risk management tool that can help you make more informed trading decisions. The ratio measures the potential return on investment against the amount of risk involved in a particular trade. By focusing on trades with a favorable risk-reward ratio, you can increase your chances of success and limit potential losses. The risk-reward ratio is typically expressed as a ratio of the potential reward to the potential risk. For example, if you're considering a trade where the potential reward is $2,000 and the potential risk is $1,000, the risk-reward ratio would be 2:1. A favorable risk-reward ratio means that the potential reward is greater than the potential risk. By focusing on trades with a favorable risk-reward ratio, you can increase your chances of success. This is because you're only taking on trades where the potential reward outweighs the potential risk. This means that even if some trades don't work out, you can still make a profit if the majority of your trades have a favorable risk-reward ratio. One of the benefits of the risk-reward ratio is that it helps you avoid emotional trading decisions. By focusing on the potential reward relative to the potential risk, you can take the emotion out of trading decisions. This can help prevent you from taking on trades with too much risk or holding onto losing trades for too long. It's important to note that a favorable risk-reward ratio doesn't guarantee success. Even trades with a high potential reward relative to the potential risk can still result in losses. However, by focusing on trades with a favorable risk-reward ratio, you can limit potential losses and increase your chances of success over the long run. The risk-reward ratio is an essential risk management tool that measures the potential return on investment against the amount of risk involved. By focusing on trades with a favorable risk-reward ratio, you can increase your chances of success and limit potential losses. It's important to use the risk-reward ratio in conjunction with other risk management strategies to ensure that you have a well-diversified and balanced portfolio. Staying informed is an essential risk management strategy for day traders. It involves keeping up-to-date with the latest news and developments in the market, both on a macroeconomic level and for individual securities. By staying informed, traders can identify potential risks and opportunities and adjust their trading strategies accordingly. There are many ways to stay informed as a day trader. One of the most important is to keep an eye on financial news sources, such as Bloomberg, CNBC, and The Wall Street Journal. These sources can provide valuable insights into market trends, company news, and other factors that can impact your trades. Many day traders also use social media, such as Twitter and Reddit, to stay informed about the latest news and trends in the market. Staying informed also means staying up-to-date on changes in regulations, economic indicators, and other macroeconomic factors that can impact the market. For example, changes in interest rates, trade policies, or fiscal policy can have a significant impact on market performance. By staying informed about these factors, traders can adjust their trading strategies accordingly and make more informed trading decisions. In addition to staying informed about the market, traders should also stay informed about their individual securities. This means monitoring earnings reports, company news, and other developments that can impact the price of a particular security. By staying informed about individual securities, traders can make more informed decisions about when to buy, sell, or hold a particular security. Staying informed is an essential risk management strategy for day traders. By staying up-to-date on the latest news and developments in the market, traders can identify potential risks and opportunities and adjust their trading strategies accordingly. Staying informed involves monitoring financial news sources, social media, macroeconomic factors, and individual securities to make more informed trading decisions. Overall, effective risk management involves a combination of these and other strategies, as well as careful planning, discipline, and a commitment to a sound trading strategy. By using these techniques and remaining focused on your goals, you can better manage risk and increase your chances of success in any investment or trading endeavor. STAY GREEN
AMEX:SPYEducation
by UnknownUnicorn37963351
we can see the weakness of the trend in the last movementWe are in an upward trend, we can see the weakness of the trend in the last movement, so we can enter into a sell transaction at the price of 1.74138 or after the failure of the last swing, the loss limit has also been determined. ⚠️ This Analysis will be updated ... 👤 Banipal : @hosseinbakrani 📅 03.16.2023 ⚠️(DYOR) ❤️ If you apperciate my work , Please like and comment , It Keeps me motivated to do better ❤️
Short
by hosseinbakrani
Inter-exchanges spread is an interesting volatility indicatorAfter observing how much price could be different between exchanges especially during times of high volatility and emotion, I wondered whether I could reliably aggreggate and display concisely this information to improve my trading without having to frenetically check a dozen tickers of the same symbol across a dozen different exchanges, as most traders do, myself included. This led me to create two indicators based on this idea. Here is the first indicator, which summarizes the inter-exchanges spread by calculating the deviation (standard deviation or median absolute deviation, the latter being more robust against outliers - exchanges that saw scamwicks due to low liquidity or an unusually large whale doing an exceptional transaction): And here is the second one, which instead displays clouds of min-max values overlaid on the price data, so that we preserve the price data, which can be directly used to define stop losses or entries: The subject of this idea is what I highlighted by a red arrow in the chart above, from the second indicator applied to BTCUSD in the first half of March 2023, post SVB bank collapse. BTCUSD saw an unexpected face-ripping rally. No indicator I know of could predict it, and no price action was indicative, except from experience knowing that we were in the lows of the range and that it was a potential time for a rally up, but I could not predict the proportions. I knew that because of SVB being a black swan event, the pump could be big, but I had no indication it could be bigger than the post FTX rally. However, the second indicator linked above provided a convincing evidence of a much bigger volatility in the highs (green cloud) than in the lows (red cloud), which suggested that, in addition to an overall high volatility and hence emotions and hence likelihood of a big move potentially happening soon, the bigger green cloud suggested a bigger interest in longs than in sales (red cloud). Hence, it seems the second indicator's green and red clouds can also be seen as representative of buying-selling pressure in some ways that even buying and selling pressure indicators can't show (see also my other indicator which is a merge of several buying-selling pressure indicators): This is a very interesting observation that I don't think I saw before. I will keep investigating inter-exchanges metrics, as this may provide a new way to detect early market inefficiencies.
INDEX:BTCUSD
by tartigradia
1
Bitcoin Path Before New Bull Cycle Begins [Daily TM Analysis]Dear Traders/Investors As you can see on the chart, I believe Bitcoin is going to experience a rough patch on coming days/weeks. there are two possible scenarios for bitcoin to arrive at 14000 USD level before the new bull cycle begins. A: Hit 20000 level then recovery to 25000-28000 and then head to 14000 B: Hit and break 20000 level and after a pullback heads straight to 14000 level Apparently the stop loss for this analysis is 28000-30000 level to be broken upward. I'll be glad if you share your thoughts and comments with me. Stay safe guys and manage risk responsibly.
Short
by Arzesh
1
STOP LOSS AS LIFE SAVIOROANDA:XAUUSD Stop-losses prevent large and uncontrollable losses in volatile trades. If you’re not using stop-losses, it’s only a matter of time when a large losing position will get out of control and wipe out most of your trading profits, eventually even your entire account! If you’re serious about staying in the game in the long run and growing your trading account, it’s necessary to use stop-loss orders in every single trade you’re taking. That’s the first rule of this article – Always use stop-losses! Stop-losses also play a major role in risk management. Depending on their stop-loss, traders are calculating what position size to take, how much money to risk on a single trade, how much they’re risking on any single dollar they’re making, and much more . Time Stop As their name suggests, time stops refer to closing a trade after a pre-specified period of time. For example, a trader who is day trading the market could close all of his open trades after the end of the trading day, while swing traders who don’t want to hold their trades over the weekend could simply close all trades by the end of the Friday trading session. Time stops are best combined with other types of stop-loss levels. If your trade is still active by the end of the trading day or ahead of the weekend, you could look to close it manually in that case. Percentage Stop Finally, percentage stops are based on a percentage of your trading account to limit the total risk of a trade. For example, a trader with a $10,000 account who wants to risk 3% of his trading account on a single trade could place a stop-loss at a level that ensures his total potential loss is $300. Some traders might think that percentage stops are a good way to manage and limit losses in the market. However, bear in mind that percentage stops imply placing a stop-loss at an arbitrary level, as long as the total potential loss doesn’t exceed a percentage of the trading account. Much better results can be achieved by combining chart stops with percentage stops, i.e. a trader would place a stop-loss based on an important technical level and manage his total risk by adjusting the position size of the trade. We’ll show you how to do exactly that later in this article . Trailing Stops Trailing stops automatically move the underlying stop-loss level with each tick of the price that goes in your favour. However, if the price reverses and starts to go against you, a trailing stop will stay at its most recent level, limiting your losses or locking in unrealised profits. CONCULUSION : WETHER YOU DO FOREX , STOCKS OR CRYPTO TRADING , STOPLOSS IS IIMPORTANT , AND IT ALWAYS GIVE YOU ANOTHER OPPURTUNITY TO TRADE AGAIN
OANDA:XAUUSDEducation
by INVESTRONE
GBP/USD Technical Analysis: Bearish Bias as Price Approaches Key📉 The GBP/USD currency pair is currently showing a bearish bias as it approaches a key support level at 1.2100. 📊 Technical analysis suggests that a pattern breakout may expose the key 1.2000 level, indicating further downside potential. 💰 Our trading opportunity is to sell at the current level of 1.2098, with a take profit target of 1.20421 and a stop loss at 1.22779. Hashtags: #GBPUSD #TechnicalAnalysis #BearishBias #SupportLevel #TradingOpportunity #TakeProfit #StopLoss
Short
by ss7trader
4
Bitcoin Hammers ceremony in 4HHi friends. I see about 4 hammers on a strength Trendline and i think price will go to the upper band i have shown on my chart. If the price surpass this 24000 resistance level after a pullback to this level , we will see a huge increase in BTC in coming days. Dont forget we are in a 4H time frame and this trendline is very important. In addition this hammers shape in an important support level (22500) too. after price reach this path i draw in my chart we should look it again to update our analysis. so if you enter a trade dont forget to set your SL below this support level and choose the upper line for your TP.(I show it on my chart and its R/R is 2.6 its good i think! ) Hope you enjoy this analysis. share me your opinion I will be happy. Thanks for reading my idea Love you all
Long
by TraderAmin-KZ
5
gold analysis - 09 feb 2023so first things first... -market brokeout to the downside on the daily timeframe - then market ranged for 4 days forming a bearish flag which is a continuation pattern -market is currently at a significant support level so if it breaks entry can be taken on the initial breakout (aggressive) or wait for a retest of that structure (conservative) - take profit is placed at the 1849 level but market could go down to the 1835 which is current support on daily market can be bullish out of nowhere but we will wait and see
GShort
by K0KETSO
❗️PLAN VS FOMO EFFECT❗️ ☑️A trader with a plan is someone who has a well-defined trading strategy that outlines their entry and exit points, risk management approach, and overall trading philosophy. ☑️They have a clear understanding of the markets they are trading and make decisions based on objective analysis and research. They are disciplined and stick to their trading plan, even in the face of losses or market volatility. They avoid impulsive decisions and emotions like fear of missing out (FOMO) that can lead to bad trades. ☑️On the other hand, a trader with FOMO is someone who makes impulsive decisions based on fear of missing out on potential profits. ☑️They may jump into trades without fully understanding the market conditions or conducting proper research. They may also ignore their risk management strategy, in an effort to make quick profits. They often enter trades based on rumors or tips from others, rather than their own analysis. This type of trader is more likely to make poor trades and suffer significant losses. ☑️In summary, a trader with a plan is someone who is disciplined, objective, and systematic in their approach to trading, while a trader with FOMO is impulsive, emotional, and reactive in their approach. I Hope you guys learned something new today✅ Wish you all Best Of Luck👍 😇And may the odds be always in your favor😇 Do you like this post? Do you want more articles like that?
Education
by ProSignalsFx
7
BNB / USDT 1H INTERVAL, STOPLOSS AND TARGETSHello everyone, let's look at the BNB to USDT chart on a 1-hour timeframe. As you can see, the price is moving above the local uptrend line. Let's start with the support line and as you can see the first support in the near future is $326.4, if the support is broken then the next support is $324.2, $322.2 and $319.2. Now let's move to the resistance line, as you can see the first resistance is $330.2, if you manage to break it, the next resistance will be $332.7, $335.9 and $340.1. Looking at the CHOP indicator, we see that we have a lot of energy for the next move, the MACD is on the verge of entering a downtrend, while the RSI has a rebound.
by cryptodailyuk
ETH Swing long trading setupHello guys lets take a look at ETH/USDT Chart in Daily timeframe. the price is struggling with 1260 level. according to the temporary Bullish sentiment in market i think price will surge to 1400 level. where we have a strong Trendline and 61.8% Retracement Level of last price LEG also a divergence seen between RSI and price recently that can improve this run. at all i think price will reach a critical point drawn in my chart. Dont Forget to set a suitable SL and manage your risk. thank you for your attention please share me your opinion in comments so i will be happy :) GOOD LUCK
Long
by TraderAmin-KZ
10 Common Lies and Misconceptions About Trading 🥺🤮1. People are born traders. While it is true that certain personal characteristics make it easier to trade, no one is born a trader. One of the main themes of the Market Wizards books written by Jack Schwager is that almost none of the market wizards was successful from the start. They all worked hard at it. 2. You have to have a high IQ to trade. Just not true. In some ways, an above average IQ may be a hindrance. Trading is a human performance activity where strong intellectual abilities are unnecessary. 3. Top traders are successful because they have the "right trading personality." There is no such thing as the "right trading personality." Researches have been unable to find a strong correlation between personality type and trading success. It is important, however, to understand your personal characteristics and how they may help and hinder your trading. 4. Trading is easy. It sure looks that way, doesn't it? Just draw a few lines on the chart, watch your indicators, and follow the price bars. The truth is that trading is a difficult business to master. It involves different skill sets and abilities from what are needed in most other professions and careers. The trader must understand his or her personal strengths and limitations and develop specific skills to deal with the mental and emotional demands of trading. The later skills are the most difficult to develop and the most overlooked. 5. You must be tough, hard charging, and fearless to be successful. That's more media hype than anything else. It glorifies a strong ego, which is a detriment in trading. The most successful traders I know quietly do their research, study the charts, and patiently wait for the right moment. They strive to keep their ego out of their trading. 6. You must trade without emotions. If you are human, that's impossible. More importantly, when you understand your emotions you will realize they are assets, not liabilities. The real keys are: To be aware of how your emotions interact with and influence your trading, and To develop the skills needed to trade with them. 7. Top traders are usually right about the market. Top traders have many, many scratch and losing trades. Top traders are at the top because they exercise good risk control, limit the amount of loss from any given trade, and have developed a psychological edge that allows them to be unfazed by small losing trades. Most of their trading consists of modest profits and very small losses. When conditions are right, they step up size and let the profitable trades run. 8. Paper trading is useless - it's not a real trade without money behind it. If you aren't paper trading,you are doing yourself a disservice. You should always be paper trading your trading ideas. Why limit your education and experience by the amount of capital you have? Paper trading keeps you sharp ; you learn the conditions under which your trading ideas work best. Where else can you get such vital education at so little cost? 9. Master the technical skills and you will be successful. This is where most traders spend the vast majority of their time, but it's only part of the picture. You also have to learn important performance skills. Traders should spend as much-if not more-time learning to develop their psychological edge as they do in developing their technical trading edge. 10. Trading is stressful. It certainly can be stressful, and it certainly is stressful for many. It doesn't have to be. Successful traders have a certain mindset. They put little importance on any given trade. Their focus is on the long haul. They know that if they attend to the aspects of trading that are within their control (i.e., trade selection, entry, risk control, and trade management) the profits will take care of themselves. source: DailyFX
OANDA:XAUUSDEducation
by Hsan_BenAhmed
46