What is the right stop loss to use?

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manual stop loss is the best

 

Advice for Stops

I'm searching for some good advice for placing stops. I've been using the strategy of placing my stops at .5 of my t/p amount and generally I get stopped out, before my t/p is hit due to volatility. I would say that about 75% percent of these trades would have made money, but the quick downward movement and recovery is killing my overall profitibility. Any suggestions for a strategy to lessen this effect?

 

then statistics on usual TP and maximum tolerance on SL ( then add 15 pip to SL)

with the winning percentage that you touch the TP before hitting SL, and when do you usually manually out, that should be safe way to set SL

I do my own MQ4 on average SL should be set for each bar or good length of the candle to enter (it will turn green according to the pair chosen), it calculate based on average

sentiment on a direction still play large part of trading, we are not that methodical and realise more than 85% bad entries will result in LOSS

still hard to comprehend, I may rewrite this bit, in short, set SL based on a consistent establish methodology

 
mixhar1:
I'm searching for some good advice for placing stops. I've been using the strategy of placing my stops at .5 of my t/p amount and generally I get stopped out, before my t/p is hit due to volatility. I would say that about 75% percent of these trades would have made money, but the quick downward movement and recovery is killing my overall profitibility. Any suggestions for a strategy to lessen this effect?

mixhar1,

IF you are correct and 75% of your trades would have been winners, then most likely your SL is too tight. I would suggest trying a SL equal to your TP minus the spread. This gives you a risk/reward of 1/1, but If you can maintain a 75% winning ratio with these settings you will do very well.

Regards,

Zipfrog

 
mixhar1:
I'm searching for some good advice for placing stops. I've been using the strategy of placing my stops at .5 of my t/p amount and generally I get stopped out, before my t/p is hit due to volatility. I would say that about 75% percent of these trades would have made money, but the quick downward movement and recovery is killing my overall profitibility. Any suggestions for a strategy to lessen this effect?

Depending on the instrument you are trading and the time frame, you may want to examine 200 or 300 entries and record what happens. That will give you an idea as to what that instrument does and you can be guided by this.

It is very difficult for someone to tell you what to do in this matter other than that you have to guard your capital vigorously.

 

stop loss

It depends on your goals, currency pair traded, time traded. At the end of the day everything has different objectives and strategies.

 

I try to use in excess of 4:1 on my robots.... seems to work well enough

 

No SL.

One pair, 5 trades, Buy/Sell,Trailing stop and Minimum profit.

 
mixhar1:
I'm searching for some good advice for placing stops. I've been using the strategy of placing my stops at .5 of my t/p amount and generally I get stopped out, before my t/p is hit due to volatility. I would say that about 75% percent of these trades would have made money, but the quick downward movement and recovery is killing my overall profitibility. Any suggestions for a strategy to lessen this effect?

Setting stoploss might be the hardest part of trading. If you fly by the seat of your pants you usually get burned and the next time you have a set SL the trade would have turned around. One thing that is hardly mentioned with system trading is volatitity. The faster the price moves against you should dictate a tighter stop, because it could get away in a hurry. While a slow perculating trade might need a little more room to breathe.

The same is true with TP

 

Thanks for the info! Have any of you run across an good reference material for this? I don't mind putting in the time to determine what works best for me.

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