Topic: Stop Loss influence in massive dump - page 3. (Read 634 times)
Recently i also use stop lose maximum time. I think stop lose is important at this market situation. Stop lose really save us from big lose. But, It’s very important to set stop lose at right price, Otherwise we can miss profit sometimes.
There is nothing like that man, it’s just because of how you set your stop loss, I guess you were trying to save much, and when you set it at point that is very small like that, just a slight decrease and the stop loss will cut your trade, so it’s best to increase it a bit more so that it will only happen when there is a bigger decrease in price.
And moreover when you set a stop loss, you already know what happens is that the stop loss will activate when it drops to the set rate and the trade will cut, so why then do you complain about the settings you have made yourself? You’re supposed to be watching your trade, when the stop loss saves your loss, then you put the trade back in if you think it will go up.
And moreover when you set a stop loss, you already know what happens is that the stop loss will activate when it drops to the set rate and the trade will cut, so why then do you complain about the settings you have made yourself? You’re supposed to be watching your trade, when the stop loss saves your loss, then you put the trade back in if you think it will go up.
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it just seems so, but stop loss is a protective means to reduce your losses when trade goes against you. this dosent force the price down, because markets usually retraces and these retracements mostly go to touch some tight stop loss which after it will change trend and move higher. thats how it plays out.
The stop loss can reduce the big loss that can come to us without us realize. But not many traders can use the stop loss at the market and they prefer to sell off their coins as soon as possible if the price is down. Maybe that can be the same to prevent the big loss, but we will not know when the downtrend will happen and we can be late to sell off the coins at the right time.
it just seems so, but stop loss is a protective means to reduce your losses when trade goes against you. this dosent force the price down, because markets usually retraces and these retracements mostly go to touch some tight stop loss which after it will change trend and move higher. thats how it plays out.
I had a few stop loss order filled todays dump happened a few hours ago, sadly that's the point from where coin moved up.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
Obviously a stop loss is going to have a negative effect when a dump is happening, however that is a concern that no one should share, if you are trading then you are in it for yourself, your goal should be to earn money and nothing else, while a better understanding of the market could seem to improve your chances of making profits there is also knowledge that will not do so and this is one of those instances.I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
A stop loss is nothing more but the point in which your losses become simply unacceptable for you the trader and in which you decide to automatically sell, its aftereffects on the market are clear but it is not necessary to think about it since that does not benefit you in any way.
I had a few stop loss order filled todays dump happened a few hours ago, sadly that's the point from where coin moved up.
Has happened with me too in past and it feels like stop-loss in the worst thing but I have been saved multiple times then I feel like its a blessing. So, I use it now but I don't use it on coins which I know have the potential to rise again but are currently down.What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
Yes, it is kind of a domino affect where one sells and the whole market starts drifting down but I don't think small traders play a big role in this. Our small orders placed at lower value indeed cause the market to decline even further but its like taking away a spoon of water from the sea, it is negligible.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
Stop-loss does only one thing and that’s to stop your losses from going further. You set it up because you don’t want to lose too much, so it helps you prevent that from happening. But starting up the trade again is up to you, you can decide to buy back that coin again if you want.If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
It can as well be the other way round, the price can drop and instead of going up, it can just continue going down from there and having your stop loss feature ready and set will prevent you from that too much loss that you would have encountered during your absence. It’s just how it happens, sometimes you’re so unlucky and prices will go up after dropping to the level of your stop loss.
With bitcoin I will never even think of using such functions because the price always swings but I use it for some other coins because I cannot keep a track of all the coins I own and how they are performing so the best way to maintain portfolio and avoid big loss is to place orders at lower than the market value in case the coin drops, we don't lose too much money for that one coin.
If you are planning to book the profit thinking that the market is having a major correction then you might use the stop loss function with bitcoin, if not even i will not use the stop loss function if you are a day trader because the massive swing in price on a daily basis. The options are great for the stock market but you are right it is not a perfect fit in a highly volatile market like bitcoin. I read somewhere that the dump was due to a mining pool (F2 Pool) sold a huge amount of bitcoins (3633) and leveraged x100 for the selloff. Those who tried to take advantage of the current price movement got liquidated but its not likely that it had something to do with the recent dump. Not sure how accurate the F2 Pool selloff rumor is but stop losses are essential especially in a crypto market that is volatile. Stop losses poses as your security blanket. What's important is how to properly place your stop loss. Ideally, it should be where you can still have a little profit from your first buy but when you're in a bull market like right now, where dips are bound to happen but a bounce is more likely.
I think you are talking about the Bitcoin slight downfall recently but the topic is actually about usage of stop loss function and if it actually helps or just makes things worse since we could have waited and got better price for the same token/coin.With bitcoin I will never even think of using such functions because the price always swings but I use it for some other coins because I cannot keep a track of all the coins I own and how they are performing so the best way to maintain portfolio and avoid big loss is to place orders at lower than the market value in case the coin drops, we don't lose too much money for that one coin.
Stop loss is the best thing to be relied upon in crypto currency trading; There was a flash dump just 2 days back and people went as high as 60% losss; a stop loss would have prevented that. The only reason why stop loss is said to aid dump is because of traders with fear. Why set a stop loss to 2% loss? better not to trade at all.
Stop loss in your trades is the best decision, never let anyone convince you otherwise as long as it related to crypto currency. You should just be bold enough to set your stop loss at 5-15% gap; to ensure your trade remains alive.
There is of course a bit of a detail that many people forget and you should add that too. If you deal with stop loss, specially with a lot of drop as well, you should also focus on getting back in part of it as well, why? Because if you just sell, and do not buy, that means you just lost money and that's it, end of story. I do not think that it is really reasonable to use stop loss without any intention of getting back in.Stop loss in your trades is the best decision, never let anyone convince you otherwise as long as it related to crypto currency. You should just be bold enough to set your stop loss at 5-15% gap; to ensure your trade remains alive.
If you plan on getting back in, what does it mean to have a good profitable return? It means that you should get out quicker and you should get in at the bottom, that is the ideal, so having a 20% stop loss is cool, and going back in when it is 30% or so down would be smart move as well. I do not know how you could handle the numbers, everyone have different numbers, but there is a fact that you have to figure out what to do after stop loss is hit.
I had a few stop loss order filled todays dump happened a few hours ago, sadly that's the point from where coin moved up.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
Stop loss is the best thing to be relied upon in crypto currency trading; There was a flash dump just 2 days back and people went as high as 60% losss; a stop loss would have prevented that. The only reason why stop loss is said to aid dump is because of traders with fear. Why set a stop loss to 2% loss? better not to trade at all.
Stop loss in your trades is the best decision, never let anyone convince you otherwise as long as it related to crypto currency. You should just be bold enough to set your stop loss at 5-15% gap; to ensure your trade remains alive.
even if you do have lots it and this will vary on someones capacity.Playing with prices or volatility is hell of a lot stressful thing to be done.
Bitcoins price can swing up to 10% correction and if you do set some shallow stop loss then that would really be easily eaten or triggered up.
When you do make swing trades then this kind of tool wont really be that necessary.
I had a few stop loss order filled todays dump happened a few hours ago, sadly that's the point from where coin moved up.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
That also attracting buyers to lower their buying price. The more traders use this one in a single coin, the more chance to get rid of it and dumps it straight.I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
But for the buyer's side, they are happy to see this. The huge benefits are now for buyers and they are catching these panic sellers to keep moving down the price and after this, these buyers will manipulate the market and set back the price too high.
But I know that this strategy won't bring the market at worse, just sometimes to accept that it never works that great and beneficial all the time.
I read somewhere that the dump was due to a mining pool (F2 Pool) sold a huge amount of bitcoins (3633) and leveraged x100 for the selloff. Those who tried to take advantage of the current price movement got liquidated but its not likely that it had something to do with the recent dump. Not sure how accurate the F2 Pool selloff rumor is but stop losses are essential especially in a crypto market that is volatile. Stop losses poses as your security blanket. What's important is how to properly place your stop loss. Ideally, it should be where you can still have a little profit from your first buy but when you're in a bull market like right now, where dips are bound to happen but a bounce is more likely.
I had a few stop loss order filled todays dump happened a few hours ago, sadly that's the point from where coin moved up.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
I just have realized that stop loss order have a significant influence on massive price decrease.
If a crypto is currently trading at $2, and someone has a stop price of $1.8, selling at $1.79. See, when the price hit $1.80, you are forcing the price to go lower. And same happens in the stop market option too. As you are selling at market best price.
What's your opinion? If there are few stop loss order on certain coins, how does it influence the massive dump? Please share your thoughts.
Stop loss is the best thing to be relied upon in crypto currency trading; There was a flash dump just 2 days back and people went as high as 60% losss; a stop loss would have prevented that. The only reason why stop loss is said to aid dump is because of traders with fear. Why set a stop loss to 2% loss? better not to trade at all.
Stop loss in your trades is the best decision, never let anyone convince you otherwise as long as it related to crypto currency. You should just be bold enough to set your stop loss at 5-15% gap; to ensure your trade remains alive.
I don't see it as you contributing to a massive dump.
When more people set their stop loss to protect themselves from further loss it helps the panic sellers to come into play which increases the dump. Simply selling more than buying will help the coins to go lower it happens all of a sudden in huge rate then everyone want to save themselves than thinking about market. isn't it?But that's my opinion if he has to stop loss, he don't have to see himself contributing to the massive dump because he's protecting his assets and he can do anything that he want such as stop loss to avoid more loss.
Large players deliberately move the price towards a large accumulation of stop-losses in order for the price to accelerate downward as a result of massive triggering of these orders. You see, it can be compared to a room with many charged mousetraps. It is worth throwing a pencil on the floor, as one mousetrap works, bounces, makes another work, the third one, and so on. A chain reaction begins. As a result, the price will not stop moving until all nearby stop losses are triggered.
If we go with that analogy there will be a moment when the moustraps will end, either because there is no more mousetrap left or because one mousetrap will land on another that has been activated so all the non-activated ones will be safe, but in the end it will end and it is not a forever thing. Now what we have to try to calculate is this; will mousetrap will activate another or is it ending with the next one?If we can calculate something like that we could actually do a great deal of profit from what is going to happen, if you think it will continue to go down more you could buy a short future and make a lot of money, if you think it will stop and go back up then you could buy long future or just buy straight up and make a good return as well. All we have to do is know when it will end going down because it is obvious that we are not going to see bitcoin at 50 cents right? So that means there must be a price where it will stop.
As long as the order of the one who is dumping/sell can fill the entire buy order book, it wouldn't matter. So even if it hits your stop-loss price, as long as you have the order there waiting, you are just filling his order. It wouldn't be traded if you have no orders there. There's always going to be someone's order there no matter what. Especially if the price is close.
It's basically completing the trade.
It's basically completing the trade.
I always felt that stop loss is the main reason for alts to bleed red whenever Bitcoin drops a couple hundred or thousand dollars. The automatic selling of alts will trigger more and more when the prices drop with it. Even a strong buyer will just wash away if the wave is hard. I know that there are lots of investors who use alts as just a means to grow their Bitcoin but putting stop loss all the time is not a profitable way.
Well, it certainly forces the market to go down if most stop-loss orders were filled. But then again the opposite could be said to be the same. Buy orders would be filled together with stop-loss orders so it would cancel each other out or at most, a small discrepancy between the two. That is unless, of course, it was intentionally brought down continuously. Still, though, stop-loss is set up to benefit you, not the entirety of the market. Even if it was manipulated, it'd still in the end save you and possibly give you more opportunities to buy at a lower price, so nothing wrong with it tbh. In the end, trading is basically taking someone else's money.
I don't see it as you contributing to a massive dump.
Even if it is also a contribution to the massive dump, it is the right of each crypto holder to decide "stop-loss". No one wants big losses in the correction phase, and we may try to sell the coins to buy at lower prices. It is a strategy that can be done by each holder, so nothing wrong with this option. I also will do it if I know there is an upcoming big correction/dump.Jump to: