Topic: Is Using a Stop loss "Good" or "Bad" - page 5. (Read 922 times)
I'd been doing both. There's always the cons and pros. Depends on your risk management. Over the years I mostly preferred the no stop-loss strategy to avoid sl hunters and manipulations. But currently I am convinced that I really need sl on my trades. There were a lot of wasted opportunities but it did saved me from further losses. Sl also helped me to discipline and control myself especially that I am more of a risk-taker attitude as proven on my past years financial decisions.
smart traders of course will give a stop loss in every trading position, this applies to all types,
spot trading or futures trading, on the spot stop loss is not very influential,
because maybe the price could return there even though it has been dumped,
but in the future, without stop lose you will lose your capital
Smart trader always use top loss what ever kind of trading between spot or future keep safety assets and take recovery back when price drop, several trader looks as long term investor without use stop loss but risk with future trading without have bigger fund for back up away from liquidity. But still effective without stop loss on spot trading but really need waiting long term and more patience for reaching higher price later, but several smart trader take stop loss and got loss few percent than become long term holding or become several years with investor after price drop.spot trading or futures trading, on the spot stop loss is not very influential,
because maybe the price could return there even though it has been dumped,
but in the future, without stop lose you will lose your capital
smart traders of course will give a stop loss in every trading position, this applies to all types,
spot trading or futures trading, on the spot stop loss is not very influential,
because maybe the price could return there even though it has been dumped,
but in the future, without stop lose you will lose your capital
Smart trader always use top loss what ever kind of trading between spot or future keep safety assets and take recovery back when price drop, several trader looks as long term investor without use stop loss but risk with future trading without have bigger fund for back up away from liquidity. But still effective without stop loss on spot trading but really need waiting long term and more patience for reaching higher price later, but several smart trader take stop loss and got loss few percent than become long term holding or become several years with investor after price drop. spot trading or futures trading, on the spot stop loss is not very influential,
because maybe the price could return there even though it has been dumped,
but in the future, without stop lose you will lose your capital
smart traders of course will give a stop loss in every trading position, this applies to all types,
spot trading or futures trading, on the spot stop loss is not very influential,
because maybe the price could return there even though it has been dumped,
but in the future, without stop lose you will lose your capital
spot trading or futures trading, on the spot stop loss is not very influential,
because maybe the price could return there even though it has been dumped,
but in the future, without stop lose you will lose your capital
I have traded and analyzed several charts and I have come to a conclusion that trading with a stop loss is the easiest way to lose money and not a safety net because if your analysis is correct what happens most of the times is markets go for the stop losses which takes you out of the market and price turns to your predicted direction after the stop hunt which many consider as market manipulations.
So is using a stop loss good or bad?
Do we have traders that trade without them, if yes what's your win ratio using this strategy?
Using stop-loss is the only way to actually become a successful trader other than that there is no way to be successful to be very honest, yes you are right that the market may do stop loss hunting and hit your stop loss just to come back up the very next moment, there are two solutions for it, either just consider it as a normal market play and adjust your success ratio accordingly, or put a mental stop loss in your mind instead of a system stop loss, people generally put mental stop loss so that they can sell after the close of the candle to ensure it's not just hunting, but this obviously makes things difficult, as you might just keep the trade emotionally instead of letting it go. Also, chances are you might end up selling at a much lower price waiting for the candle to close. So it's all upto you to choose one way out because eventually, you have to adjust yourself according to the market. So is using a stop loss good or bad?
Do we have traders that trade without them, if yes what's your win ratio using this strategy?
good or bad?, of course GOOD!. because stop lose will keep you from BIG LOSE!,
you should be able to put a stop loss even if it makes you sad,
it is the first time trading and experiencing a loss is very painful,
but it is a big mistake if you let your coins or investments try to sell them when the bear market arrives,
and do a buy back, then your money or capital can come back again.
you should be able to put a stop loss even if it makes you sad,
it is the first time trading and experiencing a loss is very painful,
but it is a big mistake if you let your coins or investments try to sell them when the bear market arrives,
and do a buy back, then your money or capital can come back again.
Sometimes we see a big unexpected bitcoin dump of 1000-2000$ within 2 to 4 hours. In such a case, the altcoins dump by 30-40% or even more. In this case, if you have stop loss placed your position will be quit by hitting the stop loss and later you can buy can the same coin in cheap rates.
Without the stop loss, you will keep on holding the coins in the spot and we never know how long you will have to wait until the market recovers to your buying price. This is only for those who are doing spot trading, your account will be liquated if you're in future trade without stop loss.
Right. Maybe for the spot we can handle it with DCA (dollar cost average) when making a purchase which can help us get an average coin purchase at a low price, and this has proven to be effective even though the coin price drops we are able to make a profit, but this has certain conditions - if we are in a bearish trend then we will finish, as you said we were carried away by a price decline of up to 40% more. If there is no stop loss then this will be a loss if we don't hold it until the price rises again.
More important here is how to use this tool correctly. It is important to understand that the most important aspect in the process of using this tool is profit.
Stop loss is good and bad. It is a two edge sword.
To say but the least, if you open a trade and very sure you can watch your screen consistently, there is no need for stop loss, just allow your strategy to play out.
Then, if you cannot watch your screen for any reason, please do not risk it, use stop loss.
Stop loss is a tool used by the weak hands to stop loss while same stop loss is used by the strong hands to create liquidity. It works for both the weak and the strong.
To say but the least, if you open a trade and very sure you can watch your screen consistently, there is no need for stop loss, just allow your strategy to play out.
Then, if you cannot watch your screen for any reason, please do not risk it, use stop loss.
Stop loss is a tool used by the weak hands to stop loss while same stop loss is used by the strong hands to create liquidity. It works for both the weak and the strong.
I have traded and analyzed several charts and I have come to a conclusion that trading with a stop loss is the easiest way to lose money and not a safety net because if your analysis is correct what happens most of the times is markets go for the stop losses which takes you out of the market and price turns to your predicted direction after the stop hunt which many consider as market manipulations.
That probably you don't set it properly. I could tell you that it was not because of the strategy you have used, it is the way how you used it. In fact, why some traders are comfortably using this? It was because they know the function of the STOP-LOSS strategy which they found out that was really helping them and saving them from losing more.
Anyways, we can't appreciate things that won't work for us. We have to accept that not all strategies will work for everyone and it just happen on you, though.
The problem is that very often after dumping bitcoins of $1000-2000, the price almost immediately returns to its previous value. And if you had a stop loss set, then at such moments a position is very often closed, usually at a loss. We can say that the stop loss was set incorrectly, but the bottom line is that it is for this reason that many ignore the use of stop loss.
The bottom line is to prevent unexpected crash when price hits then crashes under your stop loss price very quickly. If around your stop loss price is actually a bottom, when the market confirms it, you can buy back and enjoy the bounce.By using stop loss order, you intentionally want to avoid crashes. It is super useful especially when you sleep or offline. Stop loss order will save you in such time and such crashes. Nothing works perfect and I believe it is what you actually implied.
Sometimes we see a big unexpected bitcoin dump of 1000-2000$ within 2 to 4 hours. In such a case, the altcoins dump by 30-40% or even more. In this case, if you have stop loss placed your position will be quit by hitting the stop loss and later you can buy can the same coin in cheap rates.
Without the stop loss, you will keep on holding the coins in the spot and we never know how long you will have to wait until the market recovers to your buying price. This is only for those who are doing spot trading, your account will be liquated if you're in future trade without stop loss.
Without the stop loss, you will keep on holding the coins in the spot and we never know how long you will have to wait until the market recovers to your buying price. This is only for those who are doing spot trading, your account will be liquated if you're in future trade without stop loss.
The problem is that very often after dumping bitcoins of $1000-2000, the price almost immediately returns to its previous value. And if you had a stop loss set, then at such moments a position is very often closed, usually at a loss. We can say that the stop loss was set incorrectly, but the bottom line is that it is for this reason that many ignore the use of stop loss.
The function of the stop-loss feature is to prevent us from experiencing bigger losses when the coins we buy fall drastically in price.
I totally agree, Stop loss has an important role to avoid bigger losses. And I think this is safe and highly recommended. Therefore, before entering the market, determine how much loss we are willing to let go.
If you don't use a stop loss, I'm afraid that if something unwanted happens when we can't monitor the market, it will result in a loss all of funds.
Sometimes we see a big unexpected bitcoin dump of 1000-2000$ within 2 to 4 hours. In such a case, the altcoins dump by 30-40% or even more. In this case, if you have stop loss placed your position will be quit by hitting the stop loss and later you can buy can the same coin in cheap rates.
Without the stop loss, you will keep on holding the coins in the spot and we never know how long you will have to wait until the market recovers to your buying price. This is only for those who are doing spot trading, your account will be liquated if you're in future trade without stop loss.
The function of the stop-loss feature is to prevent us from experiencing bigger losses when the coins we buy fall drastically in price.
I totally agree, Stop loss has an important role to avoid bigger losses. And I think this is safe and highly recommended. Therefore, before entering the market, determine how much loss we are willing to let go.
If you don't use a stop loss, I'm afraid that if something unwanted happens when we can't monitor the market, it will result in a loss all of funds.
The stop-loss strategy has been used for our benefit.
It helps to cut you down from losing more and this become useful during the bear season. Thus, if you are in trading, you can really appreciate its importance, in fact, the majority of the traders had used this for the said reason.
It is GOOD or BAD? Depends on what is your purpose for using this but for me, it was a useful strategy.
If you are trading for good profits and would not want to mess up and lose them, trading using stop loss will definitely work. It will give you guarantee that you are not going to lose much, even if you will not closely monitor all your investments. As you will have no uncontrollable losses due to high volatility because you have set your price already when to sell if the price decline will keep on dropping. However, if you are seeing stop loss not for your own benefits, then its clear that it makes no sense for you.It helps to cut you down from losing more and this become useful during the bear season. Thus, if you are in trading, you can really appreciate its importance, in fact, the majority of the traders had used this for the said reason.
It is GOOD or BAD? Depends on what is your purpose for using this but for me, it was a useful strategy.
The function of the stop-loss feature is to prevent us from experiencing bigger losses when the coins we buy fall drastically in price. Moreover,
we are trading on shitcoins or meme coins, in my opinion it is highly recommended to use the stop-loss feature, because we know shitcoins or
meme coins will take a long time to recover if the price has dropped. But if we trade popular coins, there is no need to use the stop-loss feature,
because the possibility to recover is quite fast. Unless we do day trading, which has a profit target in a short time, then using stop-loss is a must.
Actually we use the stop-loss feature depending on the market situation, and also the strategy we use. Therefore it depends on each of our
trading strategies, as long as we are correct in using the stop-loss feature, of course the stop-loss feature is a good thing.
The stop-loss strategy has been used for our benefit.
It helps to cut you down from losing more and this become useful during the bear season. Thus, if you are in trading, you can really appreciate its importance, in fact, the majority of the traders had used this for the said reason.
It is GOOD or BAD? Depends on what is your purpose for using this but for me, it was a useful strategy.
If you are trading for good profits and would not want to mess up and lose them, trading using stop loss will definitely work. It will give you guarantee that you are not going to lose much, even if you will not closely monitor all your investments. As you will have no uncontrollable losses due to high volatility because you have set your price already when to sell if the price decline will keep on dropping. However, if you are seeing stop loss not for your own benefits, then its clear that it makes no sense for you. It helps to cut you down from losing more and this become useful during the bear season. Thus, if you are in trading, you can really appreciate its importance, in fact, the majority of the traders had used this for the said reason.
It is GOOD or BAD? Depends on what is your purpose for using this but for me, it was a useful strategy.
So is using a stop loss good or bad?
Stop-loss is just a feature for trading. Good or bad using it, depends on the trader himself.For an active trader, I think it is not necessary to use stop-loss because he is always active to check and monitor the market every day. Whenever he wants to sell, he just puts their tokens/coins into the sell order. While for a passive trader, he may need it to avoid extreme losses when there is a huge correction/drop.
Do we have traders that trade without them, if yes what's your win ratio using this strategy?
I rarely use stop-loss, I am always checking my coins/tokens in the exchanges every day. Regarding the win ratio, I never count it and I don't really think about it so much. As far as I think it works properly, I will go with my own way.~snip~
So is using a stop loss good or bad?
Do we have traders that trade without them, if yes what's your win ratio using this strategy?
^ Stop-loss!So is using a stop loss good or bad?
Do we have traders that trade without them, if yes what's your win ratio using this strategy?
We are not talking about a profit here, we are talking about how to cut your possible loss or how to avoid a huge loss while in trading.
This is a very important tool in trading to have stop-loss and avoid unexpected massive losses just like when the market behavior has a downtrend which is pretty normal to the market that has an unpredictable price. So it is good to use this stop-loss while in trading and if anyone who will not use is expected to have a massive loss someday. Traders should always have an advanced mindset in trading, these strategies will help you in your trading activity.
Stop loss is neither good, nor bad, it depends on your trading objectives! If trader is trying to keep his capital from been eroded from volatility, stop loss will definitely be a good strategy to employ. If however you scalping or trying to take a long position, stop loss my work negatively on your objectives!
That be unreasonable. Traders had used this strategy to protect from losing much which is found to be effective in knowing the volatility of the market and abrupt changes in trend.
I wish all exchanges actually had this feature, but it doesn't seem to be all. Traders have many techniques according to what makes them feel comfortable so the difference is natural. I myself am more happy because it will reduce the danger of losing more. Although I know, this feature will certainly be better combined with technical analysis so you don't just determine by guessing. Although many people say do not lose your capital more than 7-10% and maybe it can be used. But using technical to install stop lose seems to be more effective. Jump to: