Topic: Stop loss order not recommended - page 2. (Read 2187 times)
So program a bot to handle stop losses locally and no one can see it?
If you register a stop loss order at an exchange, somebody will know.
Sombody with a stash of bitcoins who knows both the order book and the stop loss orders, can practically compute in advance what he will earn if he dumps his coins, trigger the stop losses and rebuys.
At least, if you want to have this nonsafety feature, make it in your own bot, or just in your mind.
A dump with unknown stop loss orders, and just trigger happy and outstressed daytraders, may also be a win for the dumper, but not with the same certainty.
Edit: With stop loss I mean: An order, not normally shown on the order book, to be triggered at a set last price. The stop loss is then converted to a market sell.
Sombody with a stash of bitcoins who knows both the order book and the stop loss orders, can practically compute in advance what he will earn if he dumps his coins, trigger the stop losses and rebuys.
At least, if you want to have this nonsafety feature, make it in your own bot, or just in your mind.
A dump with unknown stop loss orders, and just trigger happy and outstressed daytraders, may also be a win for the dumper, but not with the same certainty.
Edit: With stop loss I mean: An order, not normally shown on the order book, to be triggered at a set last price. The stop loss is then converted to a market sell.
I agree. The exchange owner will know for sure, so if they play the market themselves they can easily calculate if they will profit from a dump (that triggers stop loss orders). I believe I have seen examples of this an exchange engaging is this type of behavior, but it is impossible to prove as you can't see who are making the moves. I will just say that what I saw back then made me a lot more cautious of using stop loss (but I still use it). You still need some sort of stop loss and if you can program it yourself Erdogan suggests.
If you register a stop loss order at an exchange, somebody will know.
Sombody with a stash of bitcoins who knows both the order book and the stop loss orders, can practically compute in advance what he will earn if he dumps his coins, trigger the stop losses and rebuys.
At least, if you want to have this nonsafety feature, make it in your own bot, or just in your mind.
A dump with unknown stop loss orders, and just trigger happy and outstressed daytraders, may also be a win for the dumper, but not with the same certainty.
Edit: With stop loss I mean: An order, not normally shown on the order book, to be triggered at a set last price. The stop loss is then converted to a market sell.
Sombody with a stash of bitcoins who knows both the order book and the stop loss orders, can practically compute in advance what he will earn if he dumps his coins, trigger the stop losses and rebuys.
At least, if you want to have this nonsafety feature, make it in your own bot, or just in your mind.
A dump with unknown stop loss orders, and just trigger happy and outstressed daytraders, may also be a win for the dumper, but not with the same certainty.
Edit: With stop loss I mean: An order, not normally shown on the order book, to be triggered at a set last price. The stop loss is then converted to a market sell.
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