Importance of stop loss placement in forex trading.

[freedombret]

Stop loss is very important to put in the right place. If we do not use stop loss,
we can make our money very loose. Because the market is very high and volatile market. If we are not careful,
we will remove the market. So make sure we have a good risk and reward ratio to make our trades safe.
it is important to make the risk ratio and reward work.

[munich]

Stop loss is very important. We know, in the forex market, prices move very wild.
I mean no one can predict price movements. What we can do is just try to make our trade security.
We know that many players in the forex market. All of them have their needs.
it makes forex like war for buyers and sellers. So, if we have open ownership on one side,
buying or selling we should prepare the attack from the other side. Stop loss will make us lose money if we are on the wrong side.

[sisca]

Previously I did not know about stop-loss. And then I lost a lot of money.
Now I realize that if I use the stop-loss method, then it is most likely to overcome that loss.
Now I use stop-loss and good profit target on my trading. And doing well in the market.
Stop-loss essentially minimizes the amount of risk or loss in forex trading. But if you invest
in civilized capital, then your wish is whether you use stop-loss or not. That's not necessary.

[not admin]

It all depends on us also for what we are looking for a day, to Determine how many pips are used for your stop loss,
Depending on your plan or target for a particular trade you are in, for example you Determine that this
I want 60pips and you see that candle already so nearly 25 or 30pips, you can see that
you are ready to lose 60pips to 25pips. Stop loss is strongly recommended to always use
and also guide your money in case of market reversal so it will not exchange all accounts.

[balls]

If you can not use stop loss, you will use cut loss directly. Because if you do not use stop loss
and let it plow, it will cause a margin call. I think stop loss is very important for new Forex traders
and expert traders. With stop loss, you can avoid losing a lot if your analysis is weeks away.

[chak148]

FOREX TRADING: IMPORTANCE OF STOP LOSS PLACEMENT



A lot of traders do not believe in stop loss placement.
Some believe in mental stop loss placement. meaning that when they feel that a trade is not going their way, they will then cut it off.
That is so terribly wrong. Stop loss placement is one of the most crucial key if you want to make forex trading profitable.
Another mistake traders make is that they shift their stop loss. They shift it backwards, thinking that the trade will just go back a little more and will come back their way. And sure enough, most of the time, they took more losses than they would have if they stayed on their initial stop loss.
In the chart above, is an example of the importance of stop loss placement.
Usd chf h4
In the highlighted box, thats a pin bar. When some guys see this pin, they will naturally take it down and the ideal place for their stop loss is the horizontal line in orange that is drawn.
Scenario A) if the trader did not place a stop loss, or a mental stop loss � look at how high the usd chf pair went upwards. Their account will be blown or had a huge huge loss.
Scenario B) Trader shifted their stop loss backwards from the initial orange line thinking that the trade will go back down. They would have taken a huge loss as the move went up terribly fast and would have gotten a big blow to their account
Scenario C) Trader sticked to their initial stop loss, they would have just gotten a standard loss of the % risked in their account, based on their money management. And this is just one of the trades among the plenty, therefore this loss is not a big deal.
I hope you guys can see the importance of placing and sticking to your stop loss. Or else your account will be blown before you know it.
Ezekiel Chew
Asia #1 Forex Mentor from www.asiaforexmentor.com

. Aapne bilkul theek Kaha Jab Tak Hum stop. Kehte Hain Humko Kabhi B Forex trading mein. Los ka Samna nahi karna padta Agar Hum stoploss ka use kar. Toh hu loss say buch Jaate Hain. Isliye stop loss ka use karna bahut zaroori hai.

[Akhterp]

main to stoploss ko hamesha apney balance kay lehaz say he set karta hoon kyun kay agar ap kay pass balance kam hai to ap stoploss ko kam faslay per lagayen agar ap kay paas balance zayada hai to ap dor bhi laga lein aor risk lay lein to koi problem nai hogi apko.

[terangkanlah]

I can not agree to additions; the final defeat is your safety net. With a cerebral stop,
you increase your danger. Also, if you use a cerebral stop, you are in the mercy of a technological problem.
What if your processor gets stuck or you lose your internet link?

[hiji]

Stop loss is the power of the full tool to protect capital from huge losses. You may incur losses
but save you from big losses. When the market goes down then many investors lose all their capital.
So like new you have to use stop loss. If you do not have enough time to trade you always use this and take advantage too.

[kamcah]

I beg to differ on stop loss. But I think pacing stop loss is a matter of your trading style.
I know a lot of great successful forex traders who have gone through the style of putting stop loss
and then decide according to their stlye trading what's better for them. They trade without stop loss
because they mainly trade in a big time frame and have decided that making a loss is also part of the trade as long as
your losses are very little while your profits are much greater. Some experienced brokers also trade without stop loss and still.
So basically one cant say wrong but it depends on the individual trading system.