I have been trading the DOW with stops of 50 pts then when in credit move stops to near entry price useally 20 pts but then I regulary get stopped out.. Then watch as the dow goes in my favour which is frustrating.
You obviously know by now that the Dow is a volatile beast and entry/exit points are critical. Refer to ChartMan’s daily Dow Intraday Charts threads to tune up your entry/exit strategy. Taking entries where RSI divergence coincides with prior strong support/resistance levels works well, but there are plenty of other options.
I’d use a 20 point stop max as it can run against you very quickly. If you enter a trade and see a profit, but it suddenly reverses, pull the trade at breakeven; don’t hang on and wait/hope for a bounce in your favour. This will save you a lot of money.
Small controlled losses are part of trading and can easily be made up in successful trades with the correct strategy.