How are you Today's , What's happen with you on forex market...Never ever add to a losing position. I think this is one of the biggest "diseases" traders have. A stop loss is like a red light, it's not a suggestion. It tells you to get out of the market not to add more money to the trade. It simply makes me angry to see people adding money to a losing position. It has no justification except one. HOPE...
'HOPE' kill trading.
Be patient with your profit targets. I know it is very tempting to grab the profits in a winning position before the profit objective is reached...
I used to think like you few years back, but not anymore.
There are so many misconceptions. Who introduced the concept of stop losses? Maybe brokers. Why will brokers even teach you how to win against them? .........think about it, and you will know that stop losses are traps designed to make you lose.
There are conditions you need to use stop losses - When you do not know the direction market is going, you can use stop loss. That is gambling and you bargain to lose certain amount of your money with your broker even before you decide to trade. Why would one be in the trade if they cannot tell where market is going in th first place? That is GAMBLING AND HOPE.
I only use stop loss to protect my winnings against brokers, not when I am in losses.
Each time you use a stop loss you hope that the stop loss will not be hit. Most times it get its anyway and trader lose in the final analysis.
I sometimes add to a losing trading on conditions too. If I am targeting higher than 100 pips, and I enter a trade at lower end, but for some reason the trade retrace back, before starting to meet the losing trades I can add to it, cos I know the losing trade will turn profit anyway. Both usually return decent profits.
It is a matter of having a winning strategy and not a losing one.
Stop loss is already first step designed to wipe out your equity. The more your stop loss get hits, the more you are agitated, and panic, fear and greed gradually step in and finally ruins.
Totally disagree. Stops are there to protect your equity.
If stops wipe out your equity it means you're risking too much per trade.
It has nothing to do with how much you risk. I am talking of effect of
accumulated severral stop losses equity especially mini accounts.
Whether you use stoplosses or not, people still don't make it. Failures has nothing to do with stop losses but inability to understand it.
Trading is more than using stop losses - you got to know where the market is going and how far it will go if it turned against your position. If you know this, why should one enter trade when market is going against the position.
Errors do happens and if you know the extent market will rise and fall
why should one apply stop loss to wrongly executed trade? Just move to other trades, instead giving brokers 20-30pips every 5-60mins.