Focus or Money Management?

[shakeel ahmed]

I think trading near support/resistence area with someextent of stop loss is safe.

 

[neil]

Safe.!!

I think trading near support/resistence area with someextent of stop loss is safe.

Nothing is "safe" in trading. You can moderate your risk but never eliminate it

 

[Splitlink]

I think trading near support/resistence area with someextent of stop loss is safe.

Not necessarily. I suggest that it is called support/resistance because no one knows in which direction it will decide to go and an "area", as it is rightly called, can cover a lot of points. A very dangerous place to have stops, IMO. It is, nevertheless, a logical place to watch and, perhaps, enter. The problem is that the market knows that, too, and I have seen price go reaching beyond, many times, before reversing as, I am sure, have many others.

 

[Pat Riley]

Nothing is "safe" in trading. You can moderate your risk but never eliminate it

On the retail side.