Quote from: teosanru on February 17, 2021, 05:08:13 PM

Quote from: palle11 on February 17, 2021, 01:05:20 PM

Some trades we take are in wrong direction but because we want to be hopeful that it will come back to profit, we allow it and it close against us. If we keep doing this, it is the exact opposite attitude of someone that wants to keep their initial capital.

There are steps you can take to reduce the loss before you lose every thing or it get to your stop loss and such is

1. Stop the trade: This is very good but difficult for many traders to do it but if you do that, you have potential loss that you have saved.

2. Use of stoploss all the time: This help your losses to be minimal.

3. Try to adjust your stoploss: You can do this if your trade is already in profit and you suspect that it is going back to your entry price, so you can take your stoploss to entry and all the order to run for profit or it stops at your entry.

Moreover in this choppy market there are too large wicks therefore the stop loss gets hit and markets reverts back to normal stage pretty quickly. Now what is the solution in such cases?

You don't have to look at the times your order hit stop loss but the times you also take profit.
The benefit of stop loss is that you have more opportunity to win back your lose because you have capital to make another order and not allowing your trade to blow you out by not using stoploss.

Trading with stoploss is a professional pattern. Price is fluctuating and no body can determine in actuality, the rate it can go that's the need for stoploss. To wedge your losses is better way to trade.