Importance of stop loss placement in forex trading.

yeh stop placing is a very important factor which most of the traders need to learn and practice very well in Demo account trading. Since there is no fixed way to do it exactly most of the people follow the way they feel is better for them. I use pivot points and support resistance method for this.

HI ALL

Guys, Some believe in the placement of a mental stop loss. meaning that when they feel that trade is not going as they wish, they will then cut it off. That is very wrong. Placement of a stop loss is one of the most important keys if you want to make profitable forex trading. When we decide to use stop loss, we must be disciplined in applying it. If the market price moves very close to our stop loss, we cannot do anything. and Many investors who are beginners in the world of transactions do not consider the value of stopping reducing currency transactions. Because they think that the stop-loss currency trading technique will not deter them. As a result they chose to cut it. when they realize about that value, they put their minds to use it.

HI ALL


importance of stop loss and take profit is very much valuable and barrier to entry in Forex trading business because when you put your trade and your trade automatically going to word negative think and negative direction then stop loss your negative trade and automatically close your trade and on the other side if you take profit then automatically touch your marketing and take profit automatically close your trade,,

Managing Risk
Managing risk and managing your emotions go hand in hand. When people feel emotional, greedy or fearful, that is when they make mistakes with risk, and it's what causes failure. When you look at a trading chart, approach it with a logical, objective mindset that only sees the presence or lack of potential; it shouldn't be a matter of excitement. If pulling the trigger on a trade feels emotional in any way, you should re-evaluate why you're not able to be objective.

The Balance does not provide tax, investment, or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal.

I am totally agreed with you that there is nothing important than the stop loss in the field of the Forex market because this is only the feature who can save you from blowing your whole account in one trade so try to use stop loss in every single trade other wise you may be in some trouble. and stop loss trading need enough patience to get the benefit. some time many stop loss point may touch in the beginning which make the newbie impatience and their ear that their balance will get lost. stop loss trade is effective when market price change is big and it is continuous in a direction. if the price fluctuate rapidly in short pips change then many stop loss is touched than to hit the take profit. so we have to wail long to get benefit of stop loss trading.

experience is gotten by trading with the demo account platfor. So I tell you Bro Jaspa, without the experience of demo account, the market will look so confusing to you though you have the knowledge of it. I will not also deny the fact that we gain more experience as we trade. and With stop Loss means we're ready to lose that must be removed if we suffered a loss, but we must also wise to put a stop loss order is not too much we lose because of stop loss in prirs always are touched.

I can not I trade without the use of stop loss, stop loss is very important for any trader to keep his money, and to identify a certain percentage in case of loss, and this works to control the emotions as well,, so I think it's very useful for any trader should not be do without and i believed that stop lose is very difficult for the novice trader. if you can use stoplose trading means it's ready to be a trader but if it does not or can not use it segabai stop lose trader still in doubt.

stop loss can awre you form huge loss the new buyer should always use stop loss procedure for avoid the huge loss in forex market it is very important tools for all type of trader that do trade in forex market
and you just have to be a Forex dealer who can plan and study charts. Through the charts, you can already determine what is likely to occur the next day or the following week�s time. However, you should work with the understanding that even Forex technical analysis can be fallible. But at least, it can offer you a better ground when interacting with a high-risk protection, such as a currency, which is better than struggling for your next trading progress.

If you hear that, 'stop loss is not a loss they are new opportunity for more profit'.Many new traders do this same wrong that they don't place a stop loss when they open a trade.The main reason of this is they don't have sufficient knowledge about where to place a stop loss.Sometime they place a stop loss and the market goes close in that point.But the market back to the above trend some time later and they start to think that if they don't place a stop loss they don't loss their money, they make some profit.Yes, it's true for sometime but I see many time it help me to protect from a lot of losses. and If you, like most of the men are planning to surprise your special someone with a diamond engagement ring, then it is vital to pay attention to certain things as you surely don�t want to get wrong. It is a bare truth that you would have to say goodbye to at least one month salary as you purchase a diamond ring. Moreover, the ring is something that is going to stay for a long time down the line. For all these reasons, it is important to pay attention to many basic things before purchasing the ring.

stoploss useful to anticipate our funds in order not to lose in a trade for most traders the decision to put a stop loss is an uncomfortable choice. Why, because it means they have accepted the loss. But every trader has the right to decide for itself which model is most suitable trading with him, either by using a stop loss or ignore it, it's back to the trader's individual itself. and Stop loss is more important when we trade with more leverage. It also more important for small investor. So try to use stop loss option. Because it saves your capital from big loss.

yeh stop placing is a very important factor which most of the traders need to learn and practice very well in Demo account trading. Since there is no fixed way to do it exactly most of the people follow the way they feel is better for them. I use pivot points and support resistance method for this.

Now i realize that if i use stop-loss method, then i probably overcome that loss. Now i use stop-loss and target profit both on my trading. .it protect your account against huge loss And doing well in the market.the beginner's of the trading must feel that forex trading is very easy to earn the profit.if we can use stoplose trading means it's ready to be a trader .. and stop loss happens to be the one setting with that we will peacefully flee from our trading terminal for alternative work our account will certainly be still safe if something happens in market that will be unpredictable and market runs opposite to actually our position. this is a service just like a protective gear like helmet we wear throughout riding a 2 wheeler.

Using the stop loss order do help in trading. Though personally I don't like because it will reduce the equity. But at the same time it saves us from having a margin call. I always monitor my trades, every time so I do close losing positions manually. But when I know I'll be busy with other things, I'll just put a stop loss order. and According to my knowledge if you are afraid of losing a larger capital, you should always use a stop loss in every transaction. Stop loss is an appropriate strategy for protecting the capital you have, but if you have the proper commitment, stop loss can not be used, provided that you have a full time front of the computer if indeed you have a lot of time of course.:-)

I am always set the stop loss in 15 pip or sometimes 24 pis not more, but right now I am searching for a method to get the better stop loss placement, because the price hit my stop loss many times.
and Stop loss in one of the best invention of the financial trading. At the same time it's also one of the most cursed things in forex - how many times was your stop-loss hit just before the trend reversed in the direction of your position. For many trader stop loss order are the reason of depression and despair. Unfortunately, not many of them understand that if they didn't use stop-loss the results would have been even worse.

It is noticed that if i use stop-loss technique, then i probably get over that reduction. Now i use stop-loss and focus on benefit both on my dealing. And doing well in the marketplace. Stop-loss generally reduces the quantity of threats or failures in currency dealing. But if you spend reasonable quantity of investment, then its your wish whether you use stop-loss or not. and I cannot I actually deals minus the makes use of in the stop loss, stop loss is quite importants for almost any dealers to be able to helps to keep his or her funds, and recognize any personnalit� proportions in case there is damage, and also this works to regulates the particular thoughts.

in placing a stop loss requires a grasp of the market in order to experience and can keep the stop loss is too great a loss. . If we do not use a stop loss, we can make big money we get loose. Since the market is very high and volatile markets. if we are not careful, we will remove the market. So, make sure we have a good risk to make it more secure. and I think that the stop loss is important, but I do not know what the best position for a Endverlust, so that I would not want to use final losses, and that is why I hope that the boss on this forum that I tips for the price of a Endverlustes was, so that losses to the good and I correct use also can stop.

In order to stop the loss, feel the start of negotiations, they can be very important in forex trading, trading that benefit is very simple, they lose their capital to trade foreign exchange If the index you want to save the negotiations for the use of the best commercial capital and foreign exchange trading tools considering advertising. and Previously, I have no idea about stop loss. And then I take a lot of money damages. Now I understand that if I use stop loss, then I probably overcome that loss. Now I use both my business on stop loss and profit target. And a good job market. The risk of loss or damage to forex trading stops short. However, if you have the appropriate amount of capital, then its your wish or if you do not use a stop loss of investment. It is not required that much.

Before i also dont use SL because of thinking price will come to my point but many time i prove not correct because price come in that palce but to blow out my account and after that many time i always use now SL to protect my fund and keep my loss in certain level. and for this its very very necesary to use sl. The SL is particularly significant with regard to the FX trade. I constantly use SL inside FX. I include the optimal intend to minimize the loss inside my trading. It is also piece of our very own discipline throughout trading. With SL we're able in order to arrange the entire funds we currently have to trade.

with Stop Loss means we're ready to lose that must be removed if we suffered a loss, but we must also wise to put a stop loss order is not too much we lose because of stop loss in pairs always are touched several strategies to reduce the rate of loss of one of them is using a stop loss. although sometimes the use of stop loss, it makes us a little depressed, but it was only natural home run with the best. Do not shift the stop loss just to assume the market trend will be reversed because it will make us more and more losses ....

This is an interesting tips about stop losses. for some traders use stop losses are important, but not for me personally. I never use stop losses, except to secure a profit when the floating +, I will set the stop loss to +1 when i get minimal profit is +15 pips. but it's just my style of trading, others may have a different opinion. Forex trading is an activity that involves many people and many business people from various countries. Induced price movements can be unpredictable at times, despite the use of indicators or various forms of analysis. The nature of price movements of the market is free, not bound by an agency or person. Because the Forex Trading activities, necessary to control the risk of lost. The use of Stop Loss is one way to control the risk. If we are trading without Stop Loss, it will be very dangerous if there is a sudden change in price movements. We can lose money very much. Therefore the use of Stop Loss is important.

Stop-loss is used as a trigger and the price level, which are traded. This price should be determined before the commencement of trading, when it opened vozmozhno.Stop loss is the point, accept the trade, "no questions asked." Stop-Loss will help you keep your trading capital to be able to act another day. Stop loss has as much importance in our trades as the target as the market can only move in either of two directions if not stable. The more we work to find out effective stop loss the safer we turn our account and trades.

You are doing something really good by placing a stop loss in your trading and you are maintaining your risk in well order. I think if you can increase that risk factor to 5% it will be alright and you will be giving yourself a good chance to make more profits. True, stoplose very important in forex because the stoplose is actually the way we secure a margin so that no MC, many people realize how important stoplose after they had several times MC, stoplose that we are so protective margin trading without stoplose never otherwise to fatal consequences

Forex trading market have so much variation up and down and nobody knows where market moves up or down, to judging the market trend is so much difficult so you want to avoid your capital from loss then you should be use the stop loss which is so important for your trading. stop loss has a great importance in forex market. it protect our account from great loss. but it is not necessary to put a stop loss if we have proper strategy and knowledge about current market. stop loss means loss. but it is suitable for newbie.

trade without stop loss is nearly same as gambling, you have big risk and for some case risk to blow up your account. always use stop loss, if you like to trade without, place bigger stop loss, but you will have atleast something left in your account stop loss is very important because it can prevent margin call, and it also depends on the percent of your capital that you are willing to risk. so I always use stop loss and learn to accept it when it hits, because there are lots of opportunities the next time for trading.

Yeh should not let the losses grow uncontrollably, when we see profit we close the trade to book even smaller profit, how we can leave our trade without putting a control on losses, having a stop will ensure that you dont lose more than a fixed amount. To be honest, I hardly apply stop loss to my orders I base my trades on support and resistance trading in trend direction - there are times when my trades are showing loss even 100 pips or more and soon returns to profitable level when market starts again after correction. But when i feel my anlaysis was wrong I use stop loss though i have to lose quite big amount but still find it wise as i save some capital to open trades on lower level.

Stop loss is the one setting with which we can peacefully go away from our trading terminal for other work that our account will be still safe if anything happens in market that is unpredictable and market runs opposite to our position. This is something like a protective gear like Helmet we wear during riding a two wheeler. Nobody can say anything for sure what will happen next in the forex market.. So actually you cant say anything with surety.. because this is the most uncertain market of all.. anything can happen and anytime.. this is why you need to ready for everything.. to protect your account there is no tool better than stop-loss in your trading..

Is stop-loss is not only important it is everything and did not put over the stop-loss in the dealings he is someone who does not care about money and wants to lose even if he is following the deal to be the reserve is set to move the market in the website very quickly and we can not close the deal and the result is the loss of part much of the capital . indeed stop loss is very important in forex trading all the loss i have earned in forex is due to not stoping my loss tthinking market will return and my loss will convert into profit.so for me stop loss has much importance in trading.
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the stop loss is real key for the Forex trading, because the tiro's of the trading moldiness sense that Forex trading is really unhurried to earn the profit but when they free their capital in Forex trading then they expect that roughly the Forex trading indicator's and tools, so outstrip to use the trading indicator to forbid the trading capital. in my opinion is a very important factor which most the commercial need for this factor to learn and practice very well in Demo account trading. it is not a fixed way most of the people follow the way they feel is better for them.

Stop Loss is one way to minimize risk and maximize profit in each of our trading position. By using Stop Loss, we could avoid a scenario where we have accumulated a lot of profit, but a single error / loss will wipe out a large amount of the accumulated total profit us.

Perhaps just as important as knowing where to enter the market or make money, knowing where to place stop loss is also important. One technique that is widely used by some of the successful trader is to move the stop loss to break the event point / break-even after the price moves according to the open position. Trailing stop is the next way that can be done to lock in profit that you get.

Stop Loss is a must for anyone who wants to become a successful trader. Then how about you? have you the discipline to apply the principles of risk and reward? or money management is still a mere lip service to you?

Stop-loss has many functions in the Forex One of the most important of these things that take advantage of the stop-loss it is one of the most important tools that support them rolling in the management of money and do not Iike that money management is difficult and requires a lot of study dear Morshedul thanks for your kind comments. I am a new face in Forex trade. Would you please kindly advise me which trading is suitable for me manual or automatic? As a beginner am I get any help from SL & TP terms? Awaiting your kind advise.

safe and to successful trading is trading that always put a stop loss on each trade. and if your analysis is wrong. you must be prepared to lose capital. and you can trade for another., Stop loss is very essential tool of forex trading but maximum trader do not use perfectly. I always use stop loss in my every trade because stop loss help us to reduce loss and maximize profit. I set stop loss where my loss is 2%.

Without mincing word, as a forex trader, we should knowing that many things are happening in the realm of Forex trading, the thing is that traders will only survive longer with stop loss trading. je app shaid theek keh rahy hian stop loss ki bohat ahmiyat hoti hia humari trades main aor phir stop loss ko aik sahi jagha pe lpace karna is se be zaroori baat hai app k is thread se kafi help mily ge humain thanxx

using stop loss have a good and bad effect. bad effect is we lose our chance to recover our money. price may be pull back after touching our target. the good side is we can safe from losing huge money. personally i do not support to put stop loss. if we have proper money management system then we did not to put any stop loss. Before i also dont use SL because of thinking price will come to my point but many time i prove not correct because price come in that palce but to blow out my account and after that many time i always use now SL to protect my fund and keep my loss in certain level. and for this its very very necesary to use sl.

I believe that a Lot of the traders who are novices in the worlds of the trading do not believes about the importances of the stop lose forex trading Because they think that in a stop-lose forex trading methodes trade is not going in their way As a results they decides to cut off it But when they knew about the importances of it they setup their mind to use it really !! This is one of the most important points in forex, or in trading anything even if its gold, oil, stocks or anything. You really need to trade with a stop loss. The reason is that the market does move a lot. You might think that the market only moves 1000 pips a few times a year, but that means if you do not use a stop loss you will lose your account a few times in a year!

For me I can not I trades without the uses of the stop loss, stop loss is very importants for any traders to keeps his money, and to identify a certains percentages in case of loss, and this works to controls the emotions as well,, so I think it's very usefuly for any traders should not be do without it really ! stop losses are very important for your account. but still must be careful in putting up stop loss. Stop loss will protect your money if you are wise in using them, especially when the Position you are wrong. Your stop loss to avoid a margin call, so use a stop loss and money management wise, and adjust the strategy you use.

forex instead of the casino, where profit rather than profit, where we can get the money there as well we should be able to perform management terhdap money in and money out, and the latter is los, forex trading in a way set out los money and forex trading profit is a very major because it can obtain financing on an ongoing case menerusdimana los then los can be set up to how much and how often to do not to disturb many of our trading journey, if the forex trading without the rules that remain in the fund when we amnagement without installing stoplos then more losses will occur quickly we can even create your account with a balance of permanent extinction glance we have to do with stoplos pengaturn trading on any trading that we open.

i think stop loss setting is very important in forex.some trader say,stop loss should be 50 pips or some others say 30 pips.but, i want to say, stop loss should be set according to market situation which prevent the capital. Forex trading main stop loss bahut jaruri or important hai.Lekin ye kbi kbi trading strategy par bi depend karta hai. kuch scalping karne waale trader to stop loss use ni karte hai or kuch long term trading karne waale bi stop loss ka use ni karte hia.

Forex trading main stop loss bahut jaruri or important hai.Lekin ye kbi kbi trading strategy par bi depend karta hai. kuch scalping karne waale trader to stop loss use ni karte hai or kuch long term trading karne waale bi stop loss ka use ni karte hia. i think stop loss setting is very important in forex.some trader say,stop loss should be 50 pips or some others say 30 pips.but, i want to say, stop loss should be set according to market situation which prevent the capital.

Thank you for teaching us the lesson of the importance of stop loss.learning to use stop loss can be the first class for the traders.I mean,stop loss is so important for traders.We even can say that stop loss is the key to our success in forex market.No one can be a successful trader without a stop loss.By setting a stop loss in our trade,we can avoid losing so much when make a wrong trade.

Importance of stop loss placement in forex trading.
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