what next if stop loss triggered

[URLUCKY]

loss because of stoploss.

Thank You so much.. I am trading NSE india scripts.. Have the habit of screenig the active scripts on the previous day.. The nextday I will wait for the opening range to breakout with the proportionate volume and enter.. And most of the times I enter in the correct time but getting losses because of my stop loss(!!!!). If I re-enter just above my Ist entry price even then I fail..The problem is 75% of the time, the price reverses after my stop losses triggered twice or thrice.. (stop loss is 1.5/2ATRs).

 

[mp6140]

Thank You so much.. I am trading NSE india scripts.. Have the habit of screenig the active scripts on the previous day.. The nextday I will wait for the opening range to breakout with the proportionate volume and enter.. And most of the times I enter in the correct time but getting losses because of my stop loss(!!!!). If I re-enter just above my Ist entry price even then I fail..The problem is 75% of the time, the price reverses after my stop losses triggered twice or thrice.. (stop loss is 1.5/2ATRs).

=========================================================

I talk about NOT USING STOPLOSSES constantly, and this site is giving webinars on the same subject, so perhaps you should watch one !

In the NY market, there is a rythm to the upside and downside and then upside again moves of a stock

for stocks, one buys if the price moves above its prior closing price and holds thru the first downturn (about 10am edt) and sells when the stock tops at 11:30 am, edt.

Currencies live a slightly different life, considering that their day is MUCH longer than stocks, so we look for the major reversal at 12 NOON, EDT and 12MIDNITE EDT with a few price reversals BUT NOT trend reversals during the day also ! these reversals are where STOPS get hit, and where you look to see your stop taken out and then the price goes up again. Learning these times through observation will keep you in profit a whole lot longer than you probably do now !

there are exceptions to this rule, of course --- such as the FIRST day of any good move, where you HOLD that stock to end of day because it has tremendous momentum --- ON DAY TWO one can hold to 11:30 am, sell and re-enter for the afternoon (around 2pm, edt) move up to the closing bell (4:30 pm, est) and then sell, or hold for the next days activity, the GAP UP, which will usually mean selling at 10 - 10:30 am at which time the stock will probably drop like a rock.

NOW --- this "cycle" must exist in the India exchange also, although I havent a clue --- once you see what the pattern is, you can adjust your stops accordingly, or knowing how the market works, do not use stops at all and you will not get caught !

remember, it moves differently on day one, two or three of the move, and you MUST know which day it is youre trading !!

enjoy and trade well,

mp

 

[Paul71]

=========================================================

I talk about NOT USING STOPLOSSES constantly, and this site is giving webinars on the same subject, so perhaps you should watch one !

In the NY market, there is a rythm to the upside and downside and then upside again moves of a stock

for stocks, one buys if the price moves above its prior closing price and holds thru the first downturn (about 10am edt) and sells when the stock tops at 11:30 am, edt.

Currencies live a slightly different life, considering that their day is MUCH longer than stocks, so we look for the major reversal at 12 NOON, EDT and 12MIDNITE EDT with a few price reversals BUT NOT trend reversals during the day also ! these reversals are where STOPS get hit, and where you look to see your stop taken out and then the price goes up again. Learning these times through observation will keep you in profit a whole lot longer than you probably do now !

there are exceptions to this rule, of course --- such as the FIRST day of any good move, where you HOLD that stock to end of day because it has tremendous momentum --- ON DAY TWO one can hold to 11:30 am, sell and re-enter for the afternoon (around 2pm, edt) move up to the closing bell (4:30 pm, est) and then sell, or hold for the next days activity, the GAP UP, which will usually mean selling at 10 - 10:30 am at which time the stock will probably drop like a rock.

NOW --- this "cycle" must exist in the India exchange also, although I havent a clue --- once you see what the pattern is, you can adjust your stops accordingly, or knowing how the market works, do not use stops at all and you will not get caught !

remember, it moves differently on day one, two or three of the move, and you MUST know which day it is youre trading !!

enjoy and trade well,

mp

Good day to you, mp.

Do you think, URLUCKY, is doing a bit of leg pulling? He's got everything worked out, and yet he/she just can't seem to figure out why his stops are getting hit. By the way, i like cold beer. Thanks.

 

[black bear]

what about them

mp

I can go along with the market cycle bit and see no real problem if thats the view of the market that makes you money mp, and adjust Stops accordingly advice

but ~ may work for you and each to their own.

No Stops = you will not get caught = True

but what about them when your tucked up in bed mp or is your position size reletive to your bank size so small you do not really care (less than say 5% risk at a judged extreme move) ~

 

[URLUCKY]

Good day to you, PAUL

Do you think, Am I doing a bit of leg pulling? ,, Hey No!.. I have got something worked out, and yet I just can't seem to figure out why my stops are getting hit. That's why I am seeking your suggestions... Thanks.[/QUOTE]

 

[mp6140]

Good day to you, PAUL

Do you think, Am I doing a bit of leg pulling? ,, Hey No!.. I have got something worked out, and yet I just can't seem to figure out why my stops are getting hit. That's why I am seeking your suggestions... Thanks.

[/QUOTE]

==============================================================

I shall go further into my response ----- when a mkt opens, there is usually a move in one of the 2 possible directions, either up or down. let us assume the move is up -- the mms are SELLING into the rally while all of you retail traders are BUYING --- when the price reaches a resistance level (and dont think for a second that the mms dont ALL know that price), they finish selling and now SHORT what is a DROP in the price, thus forcing retail traders who are flipping to BAIL their positions and start selling their shares cheaper and cheaper, WHICH JUST FITS THE SHORTERS FINE, THANK YOU !

finally the price gets to significant support AND UP GOES THE PRICE AGAIN, with the mms now having TONS OF CHEAP SHARES THAT THE RETAIL TRADERS PRACTICALLY GAVE THEM, not to forget that they have also profited off their short positions.

YOU are setting stops and being taken out by that first downside move, when you should either have a much deeper stop (or, heaven forbid, NO stop at all), because IF THE CURRENCY PASSES ITS PRIOR CLOSEING PRICE YOU HAVE YOURSELF A RUN --- and while there will be little retraces, its best you just hang on and make your money.
in my two posts here, I have given you secrets that mms DONT want you to know --- how time of day affects intraday cycles and actions, and how to take advantage of them.

NORMALLY i charge 29.99 for the DVD and workbook, but TODAY . . . . . . . . because its YOU . . . . . . . . . . I GIVE IT FOR FREE (LOL)

IF YOU CHOOSE NOT TO BELIEVE ME, which is rather silly, TAKE A LOOK AT WHAT IS HAPPENING FOR ONE WEEK, then throw a coin in a local fountain wishing me long life !

enjoy and trade well

mp

 

[Paul71]

Good day to you, PAUL

Do you think, Am I doing a bit of leg pulling? ,, Hey No!.. I have got something worked out, and yet I just can't seem to figure out why my stops are getting hit. That's why I am seeking your suggestions... Thanks.

[/QUOTE]


What risk/reward do you have in mind?

 

[URLUCKY]

Oh!!! Thank you.. I will defenitely try with this.. If I am winning I will do something to the needed in the name of YOU..Else you have to suggest me again(??)..Anyhow I WISH YOU A LONG AND OFCOURSE A PROPEROUS LIFE.

 

[mp6140]

What risk/reward do you have in mind?[/QUOTE]
========================================================

funny --- on another thread i actually asked what was the meaning of "risk/reward" because, although i had heard the words many a time before, I never figure that into my trading.

I actually NEVER think of any trade as a "risk" because I know where Im entering and I know where Im exiting --- the oney thing that ever changes is the timeframe I work in, and often while im working, its in 3 or 4 timeframes at once. (the H1 and H4 is for "overnite" trades, which for me means the asian/london markets !

so, not using stoplosses eliminates one form or risk/reward calculation from my trading, and whatever the other method is, i dont use it !

sorry

mp