Just wanted to know how others determine their stop/loss price for their positions... i used to have my stop/losses about .15 to .25 below the purchase price and later the current price.. I've since changed that to having my stop/loss at 7% below of the purchase price (on the day of purchase) and current price as it rises if going into a uptrend.... what about you? ... Posted by dodo on :
As soon as I clear out my current positions I'm moving to choicetrade so I have that opportunity with pennies.
Posted by cbrf2 on :
mach,
yah, i use to never have it, lol, just hopes and wishes. Someone told me to use a 7 percent, which ive been using since. Well, mostly, lol. Think about it like this, if u drops 7, u walk out with 93 percent of ur money! Posted by Machiavelli on :
thats the way i look at it... if a stock drops 7% or more then its not worth being in that trade... some of them will bounce back but most of them wont.. better to take your losses and find a better stock... for the ones who want to take more of a risk and give the stocks more room to maybe bounce back.. try a 10% stop/loss then... if you can handle the losses if things go bad..
Posted by George on :
You guys must no be playing the pennies... A 7% drop or rise is nothing. I have had ones that drop 20-30% in a day and then go up 50% to HOD. If you set a stop loss at 7% the MM's will eat it up.
Posted by Machiavelli on :
it all depends on the volume, float, outstanding shares etc... not all stocks behave the same way.. some stocks move alot based on those factors and others don't.. i will never put a stop/loss at 20% to 30% .. that is gambling.. and i'm trying to take the gamble out of the game...
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