yogeshwartyagi Posted September 4, 2011 Share Posted September 4, 2011 In my opinion using long term support (the rate from where trend reversed many times) as stop loss is a better way to have high chances of closing your trade in big profits. What you guys think? Quote Link to comment Share on other sites More sharing options...
adnan007 Posted September 27, 2011 Share Posted September 27, 2011 Placing a Stop Loss on or just below long term resistance can be beneficial but still it contains several big risks. First of all, we are expecting the pair to move to the upside (long), however if the pair fails to do so and hit our SL, then ww will loose a huge part of our initial investment amount in that particular trade. Quote Link to comment Share on other sites More sharing options...
yogeshwartyagi Posted October 17, 2011 Author Share Posted October 17, 2011 This is true that when we set stop loss below long term support we have risk of loosing big amount but this will not happen often usually you will make profit few times before hitting stop loss and also if your stoploss is triggered traders sentiment changes and there are great chances of prices going further down in that case you shall have opportunity to buy on further lower levels i.e. saving lot of your capital. Quote Link to comment Share on other sites More sharing options...
budado Posted October 22, 2011 Share Posted October 22, 2011 My first rules is loss small earn big. For me my main concern is to loss small before ever thinking to earn big. Some trader thing to earn big that they turn out losing big. Forex trading is all about strategy and taking risk. And taking risk means you need to invest more time in risk management before earning. Quote Link to comment Share on other sites More sharing options...
mohammadbadr Posted November 11, 2011 Share Posted November 11, 2011 Strong support/resistance are always better for usage as a stop loss, because they less likely broken from the first time, but sometimes you find the nearest strong point is still far away, and by using it you will contradict the take profit/stop loss ratio. Quote Link to comment Share on other sites More sharing options...
budado Posted November 30, 2011 Share Posted November 30, 2011 Strong support/resistance are always better for usage as a stop loss, because they less likely broken from the first time, but sometimes you find the nearest strong point is still far away, and by using it you will contradict the take profit/stop loss ratio. Its good to use this as an indicator. but how to use this support and resistance level depends on the forecast. Is the pair bullish? Is the pair bearish? Is it oversold or overbought? This are the question need to be answer. Because if its over sold then do you think your resistance is feasible? What is the status is oversold? does it mean theirs going to be a reversal? Or will their will be still a rally? Quote Link to comment Share on other sites More sharing options...
yogeshwartyagi Posted December 2, 2011 Author Share Posted December 2, 2011 Its good to use this as an indicator. but how to use this support and resistance level depends on the forecast. Is the pair bullish? Is the pair bearish? Is it oversold or overbought? This are the question need to be answer. Because if its over sold then do you think your resistance is feasible? What is the status is oversold? does it mean theirs going to be a reversal? Or will their will be still a rally? Â This is right that we should preapre our strategy according to whether market is bullish or bearing, but this is also true that market does not walk strait, if it is a long term support it is not broken in one hit but market move up and down several times before a support is broken - and that give you good reason to make a long position near good support and so making profit with each jump. Quote Link to comment Share on other sites More sharing options...
riddick09 Posted December 4, 2011 Share Posted December 4, 2011 Just wonder the support is broken does it mean that it is between the cut off or the day off of the forex and then suddenly in goes up and goes down. Well really i also used stop loss when trading. Quote Link to comment Share on other sites More sharing options...
budado Posted December 20, 2011 Share Posted December 20, 2011 Just wonder the support is broken does it mean that it is between the cut off or the day off of the forex and then suddenly in goes up and goes down. Well really i also used stop loss when trading. The thread strategy is long term. So if the support is broken then I'm assuming your in the buy side? Even if theirs a mild break out. If the long term fundamental analysis has 60% bullish. I'm still going to hold. But if I do long term I see to it that I have only use 5% of my funds and will use 500% free margin. So survive volatility. And unless the fundamental analysis change to less than 60% bullish. I will not close the trade. Quote Link to comment Share on other sites More sharing options...
omostar Posted December 25, 2011 Share Posted December 25, 2011 It is definitely the best to use the long term supports as stop loss but the problem with that sometime is that you may have to risk so many pips if the support is far from your entry point. Quote Link to comment Share on other sites More sharing options...
budado Posted December 26, 2011 Share Posted December 26, 2011 That's true. that's why its always good if we can trade if we have good amount of funds if we don't have good amount of funds its better that we use the lowest lots as possible and also the low leverage also. Don't think that you need to earn big. Think that you need to lower your risk. Because this is were we go careless. When we think we want to earn more right away. Quote Link to comment Share on other sites More sharing options...
omostar Posted December 28, 2011 Share Posted December 28, 2011 That is true it is always better to trade small and steady. For me if I think I will risking too much for a trade then I will probably just let that trade go and patiently wait for another opportunity. We should not think that we have to take advantage of any opportunity even if it involves risking so much. Other opportunities will always come. Quote Link to comment Share on other sites More sharing options...
kivanger Posted December 31, 2011 Share Posted December 31, 2011 very true wait and see is precisely when we are in a position of doubt, indeed an opportunity at the end of today but tomorrow is still long and do not ever carry emotions that are most important. lest until our capital depleted because of our emotions Quote Link to comment Share on other sites More sharing options...
budado Posted January 31, 2012 Share Posted January 31, 2012 Ultra true? lols. Its seems after I post the word "true" theirs two poster after me who uses the word "true" so that means its ultra true. lols. Anyway. in long term we must also put into consideration that only the loss from the market volatility but the loss from swap interest. Its good if the interest is in our side but if not then its double loss. Quote Link to comment Share on other sites More sharing options...
adnan007 Posted March 21, 2012 Share Posted March 21, 2012 Well, your question requires to reason why the trader took the position and the amount of funds he has in his trading account. Long term supports might help us earn big profits but at the same time risk greater pips or money... losses would be huge and thus I don't recommend anyone for such time of risky trading unless the trader is a long term trader... Quote Link to comment Share on other sites More sharing options...
flybiz08 Posted March 28, 2012 Share Posted March 28, 2012 Why should anyone depend on long term support to go long? Then if I were trading on the 1 hour time frame, then do I use a long term support? Again the number of pips to risk here will be too much. Quote Link to comment Share on other sites More sharing options...
budado Posted March 31, 2012 Share Posted March 31, 2012 Why should anyone depend on long term support to go long? Then if I were trading on the 1 hour time frame, then do I use a long term support? Again the number of pips to risk here will be too much. Its depends on your entry point. If you open in the lowest level as possible if its in bouncing mode then its a good thing. I know its hard to earn money in forex trading. But in forex trading its timing that is every thing. The more you trade the more you going to loss money in here if each time you open a position you're timing is well off. Quote Link to comment Share on other sites More sharing options...
antthenait Posted May 1, 2012 Share Posted May 1, 2012 In my opinion using long term support (the rate from where trend reversed many times) as stop loss is a better way to have high chances of closing your trade in big profits. What you guys think? You are right because long term support can give the exact knowledge of a treader for predict any upcoming ratio. As we use SL for safe our last gain ratio so we need to take best support from some previous work out. Some members won't absorb such risk so use SL. Those who can make best prediction from their last track record should be the real gainer. Quote Link to comment Share on other sites More sharing options...
rizal83 Posted October 13, 2012 Share Posted October 13, 2012 of course, with the long-term trade we should also consider the amount of capital that we have because with strong capital will make our defense would pips away from the risk point margin untouched by caal for us in the long run jikapergerakan trading market was very active and we make decisions one might be if we do not have a very strong resistance pips then it will only hurt us Quote Link to comment Share on other sites More sharing options...
zebrut Posted October 16, 2012 Share Posted October 16, 2012 it is correct to prevent huge losses, especially for the newbie who own a small capital should use SL strategy, because even though we will incur a loss because we use stop loss but the loss that we suffer not great so there is still hope to get a big profit when we open back in the opposite direction. but keep in mind that using a stop loss strategy is not likely to experience a loss, but using SL we can reduce our losses. Quote Link to comment Share on other sites More sharing options...
rizal83 Posted October 16, 2012 Share Posted October 16, 2012 using SL on a long-term trade is going to give us trade a very good security but it should be in the installation of SL we also put profit trailing stop order that we can get caught by a trailing stop, so if the price turned as profit that we earn not yet reached the point of taking profit by it will not be a problem for us because we can profit already been saved by the trailing stop Quote Link to comment Share on other sites More sharing options...
zebrut Posted October 16, 2012 Share Posted October 16, 2012 strategy very nice brother, my thoughts never use trailing profit stop orders and so far I have not understood how to use Trailing Stop strategy in SL. Can you please tell me how to use Profit Trailing Stop Order Stop Loss strategy in my brother, because all this when I was little immediate benefit though my cap because it was feared would suffer losses. Quote Link to comment Share on other sites More sharing options...
budado Posted October 16, 2012 Share Posted October 16, 2012 If you go long term then its better not to put SL at all. its better make it or break it attitude. Anyway make sure you earn good amount of money in forex trading. Make sure that you invest your time and effort in doing forex study. I do like to invest big money in forex. I really hope that some day I can make it good in forex. But one thing I don't like about investing long term in forex is that if you need money you are lock in a position. Quote Link to comment Share on other sites More sharing options...
rizal83 Posted October 16, 2012 Share Posted October 16, 2012 it has been a long-term trade we will be hard to take advantage when we're in need of money, maybe when we see our trade and have produced sizable gains we can just close our trade and take advantage of it for our needs but if we look at our trade is experiencing a floating minus then it would inconvenient time for us because we are in need of some money for our needs Quote Link to comment Share on other sites More sharing options...
Hunter Posted October 18, 2012 Share Posted October 18, 2012 In my opinion using long term support (the rate from where trend reversed many times) as stop loss is a better way to have high chances of closing your trade in big profits. What you guys think? Â When it comes to setting stop losses, support and resistance plance indeed a good place to set because the price respected that place in the past, so it could do the same in the future, if we have good ratio to work with then sure we can set that, but the ratio for profit and loss then it's better to leave. Quote Link to comment Share on other sites More sharing options...
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