Got in a discussion with a friend that recently started learning Technical Analysis and then he said he trades without using stop Loss. I told him no good trader trades without stop Loss. I tried to explain to him about the volatility and how trades can go against you especially as a new newbie and you can lose heavily. He seems adamant and I decided to leave him maybe he will learn from his own mistake if it happens. It seems there are also many traders that trade without stop Loss and I wonder how they do it conveniently.
Please share your views on how important stop Loss is and how convenient it can be to trade without stop Loss.
Lol I won’t blame your friend and others that are doing the same thing as he does. He’s not the only one, I know a lot of people that don’t like making use of stop loss and their excuse is usually that it can trigger an unnecessary sell, and that can lead you to missing a huge opportunity when there is just a short term fluctuation in price; in a situation like this your stop loss order is going to be activated and then the market will start moving up and you will miss the chance of making profit. I have seen someone complain about something like this on this forum.
So, everyone knows what works best for them, if what people are doing is not working for you, it’s best to do your own.