what next if stop loss triggered

Accept the stop and wait for another entry signal. For every time it reverses through your stop, it will fall further. A newbie trap is to keep moving the stop south as the price creeps south, thus increasing your losses. Then when you finally close, it isn't a minor irritation but a major pain.

Of course, you need to decide if your stops are appropriate for the style of trading you do. Newbies do tend to have stops too tight because they are afraid of losing money. If you describe what you do and on what security, I'm sure someone will be able to recommend a stop size.

ETA: a nice rule of thumb for placing a stop loss is as the level where to be in the trade would be wrong. eg for a support, 30pips below support means that the support has definitely been breached whereas 5 pips is just a whipsaw.
 
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It would be a good idea to post a couple of examples assuming its not super secret :) I suggest you include targets/exit points and expected win rate as well if you have it although thats not as important.

Then the advice you get will be more relevant.
 
URLUCKY said:
I am new to this but not new to day trading.. I want to know what you people are doing if the stop loss is triggered but the price reverses just after the stop loss..I am using ATR and PIVOT SUPPORTS/RESISTANCE for stop loss.. Need your valuable(!) experieced suggestions!!http://www.trade2win.com/boards/images/icons_new/icon6.gif
Cool
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You need to work on your entry. I can't believe there's so much stuff written about stops. As Wasps signature says, don't concentrate on the finger.
 
Paul71 said:
You need to work on your entry. I can't believe there's so much stuff written about stops. As Wasps signature says, don't concentrate on the finger.
Click to expand...

He was asking about stops so we have to assume he isn't having a problem with his entry. Otherwise, this thread could get very big discussing entry, managing a trade and exit, plus stops when things go wrong.
 
URLUCKY said:
I am new to this but not new to day trading.. I want to know what you people are doing if the stop loss is triggered but the price reverses just after the stop loss..I am using ATR and PIVOT SUPPORTS/RESISTANCE for stop loss.. Need your valuable(!) experieced suggestions!!http://www.trade2win.com/boards/images/icons_new/icon6.gif
Cool
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Hi URLUCKY

you make your own ............................Luck:clover:

Just keep demo trading your method and keep a diary of trades.....even demo trades ...one day they will be very real :eek: and keep reading everything.

work out you av winner and av loser, look for stand out big losers and winners ask yourself

how come .Why :?: etc etc Keep asking questions

Do not demo trade thinking its rubbish and do not trade real money (small stakes only) if your emotions effect your ability to think and improve your method ready for later = no rush is there

Insanity is keep doing the same thing and expecting a different result.

Take time off and give it some thought if you cannot solve problem straight away.

No hard and fast rule available imho. I just traded very small stakes at 1st with a larger Stop and tightened it up, do not no what others do or did. just made the Stop 1% of bank and worked on it some, still am, always will be.

I never re-entered after I had taken a loss until the move had played out. Always waited till the next signal in the early days. watched and learnt I guess.

Today I might re-enter 3 times and within a 5 minute period (rare) if I think the trades good to go.

thanks for previous advice Paul by the way :)

all the best :clover:
 
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More food for thought perhaps

A good post by steve might help with your thoughts etc ........


A simple experiment might help me make my point. Next time anyone gets the ‘urge’ to take a position in the market just stop for a moment. Bring up a chart or two of the relevant instrument. Now place yourself in two scenarios and answer the following two questions;
1 ) Imagine that you have recently gone long in this instrument – where would you place your stop?
And...
2 ) Imagine that you have recently gone short in this instrument – where would you place your stop?
Once you have identified the two stop areas you have identified an area where taking a trade is of much lower risk. It is of lower risk because you have found an area where temporary price deflection is likely to occur. In those areas the 95% are flushed out of their positions purely due to price – this is where you can step in. Obviously, if you have supporting volume as well then you are more than likely onto a good thing.

Right – I need some sleep!

Steve.
 
MP -- not me, no sir --- no way i answer this --- NOPE !!

URLUCKY said:
I am new to this but not new to day trading.. I want to know what you people are doing if the stop loss is triggered but the price reverses just after the stop loss..I am using ATR and PIVOT SUPPORTS/RESISTANCE for stop loss.. Need your valuable(!) experieced suggestions!!http://www.trade2win.com/boards/images/icons_new/icon6.gif
Cool
Click to expand...

===============================================================

for your own safety and simplicity, I SHALL NOT JOIN THIS THREAD !

listen, learn, live long and prosper !

mp
 
mp6140 said:
===============================================================

for your own safety and simplicity, I SHALL NOT JOIN THIS THREAD !


mp
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Why not? You're not going to say something crazy like, exits are more important than entries, are you?
 
Paul71 said:
Why not? You're not going to say something crazy like, exits are more important than entries, are you?
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=============================================================

never gave it much thought actually --- if one is trading, dont they BOTH count ??

nah, my thoughts on stoplosses are well known, but its more a discussion for intermediate and expert players than for newbs, so I shall keep my opinions to ground on this one !

enjoy and trade well

mp
 
mp6140 said:
=============================================================

never gave it much thought actually --- if one is trading, dont they BOTH count ??

nah, my thoughts on stoplosses are well known, but its more a discussion for intermediate and expert players than for newbs, so I shall keep my opinions to ground on this one !

enjoy and trade well

mp
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Mmm, shame that. You're not embarrassed about what you have to say, are you?
 
Paul71 said:
Mmm, shame that. You're not embarrassed about what you have to say, are you?
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=============================================================

not in the slightest Paul, but my thoughts have been expressed at least 50 times on these threads, and i consider it probably best kept to the realm of the intermediate to expert trader, as it becomes a point of confusion for the newbs.

having said that, there have been a number of newbs who i have sat down with and taught what i preach, and theyre suddenly making money where they once only lost, so i guess it comes down more to just how serious one is about trading and learning, but generally, i like to keep the information heading towards those who can appreciate and use it best.

considering this site itself is giving weninars on not using stop losses, I would think my preachings for the past 7 years are now being examined in the light of truth, and that many a cherished and long held "concept" may soon drop by the wayside.

but like Paul, if you should choose to continue the discussion, why not PM me and save everyone the misery of sorting through our conversations ?

with joy and love and enthusiasm for the 3 dimensional game we call trading,

enjoy and trade well

mp
 
mp6140 said:
=============================================================

not in the slightest Paul, but my thoughts have been expressed at least 50 times on these threads, and i consider it probably best kept to the realm of the intermediate to expert trader, as it becomes a point of confusion for the newbs.

having said that, there have been a number of newbs who i have sat down with and taught what i preach, and theyre suddenly making money where they once only lost, so i guess it comes down more to just how serious one is about trading and learning, but generally, i like to keep the information heading towards those who can appreciate and use it best.

considering this site itself is giving weninars on not using stop losses, I would think my preachings for the past 7 years are now being examined in the light of truth, and that many a cherished and long held "concept" may soon drop by the wayside.

but like Paul, if you should choose to continue the discussion, why not PM me and save everyone the misery of sorting through our conversations ?

with joy and love and enthusiasm for the 3 dimensional game we call trading,

enjoy and trade well

mp
Click to expand...


Ok, fair comment. By the way, i'm not an advocate of stops are a must.
 
Paul71 said:
Ok, fair comment. By the way, i'm not an advocate of stops are a must.
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==============================================================

does that now mean were friends and im obligated to buy you a pint or three ?

LOL

mp
 
The question one has to ask is
Why would your stop loss be triggered ?
answering that question will go a long way in deciding where to place your stop loss
 
Paul71 said:
No, but if you must...
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=====================================================

with you guys, im never sure if i put the bottles in the fridge, or take em out of the fridge and put em in the oven !

mp
 
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