ATR, Fixed pips, %?

[Davide Marrone]

When computing the Stop Loss what do you prefer? I mainly use ATR..

[Yashar Seyyedin]

Davide Marrone:
When computing the Stop Loss what do you prefer?

Depends on you. You will find the right choice of yourself finally. Time make things clear to you.

[Amira J Brand]

Depending on the strategy i like to use:

1) Fixed

2) Atr

3) PSAR

[Miguel Angel Vico Alba]

My limit is the StopOut... (just kidding) XD

I use support/resistance and good money management.

[Davide Marrone]

Amira J Brand #:

Depending on the strategy i like to use:

1) Fixed

2) Atr

3) PSAR

What are your thoughts on Fixed? Since on EAs imo I prefer to build them with ATR to emulate more like discretionary trading..

[Miguel Angel Vico Alba]

Davide Marrone #:
What are your thoughts on Fixed? Since on EAs imo I prefer to build them with ATR to emulate more like discretionary trading..

To use "fixed" there must be statistics behind it. Keep that in mind.

Using ATR is optimal as long as you don't intend to do scalping and use an ATR 14 in a TF of H4... XD

PSAR is wonderful from an aesthetic point of view, but the default setting doesn't work. It has too many false breaks. They need to tweak it slightly.

We pros use support/resistance because that's where the institutional money, SLs, etc, accumulate and are the accumulation/distribution points.

[Amira J Brand]

Davide Marrone #:
What are your thoughts on Fixed? Since on EAs imo I prefer to build them with ATR to emulate more like discretionary trading..

I like for example to use ATR with a maxed fixed stoploss :) 

[Rafael Santos]

I often set a fixed stop loss initially, and depending on the specific strategy, I may incorporate a trailing stop. In some cases, I prefer to use a trailing MA stop loss. Could you share an example of how you employ the ATR to establish your stop loss?

[Davide Marrone]

Rafael Santos #:
I often set a fixed stop loss initially, and depending on the specific strategy, I may incorporate a trailing stop. In some cases, I prefer to use a trailing MA stop loss. Could you share an example of how you employ the ATR to establish your stop loss?

Sometimes I add ATR on top of Indicators

[Davide Marrone]

A combination of them may be the optimal approach btw, even if I still prefer ATR since it adapts to volatility

[Scott Allen]

Davide Marrone:
When computing the Stop Loss what do you prefer? I mainly use ATR..

Best combination I've found is ATR for the initial stop loss and then either ATR or PSAR for the trailing stop. I don't have enough data to pick one or the other for the trailing stop — they produce pretty similar results, particularly if you allow a different ATR period for the trailing stop and optimize it.

That said, it depends on the strategy. I have a strategy I'm working on that bases the stop on the high or low of the last closed candle. I've tested the option to set it 1 pip past that, or the spread past it, or an ATR multiplier. In most cases, just the spread works as well or better than the ATR multiplier. But that's an unusual situation for a stop that tight to work.