What is your best tip to set STOP-LOSS in Trading?

'People say it is mandatory to trade with a stop-loss but why does the trade keep losing? Like this, well don't have to put a stop-loss.'

I am sure that many traders are confused about the strategy of using the SL setting in their trading.

Sometimes when a trading position is hit by the SL, it continues to make the account melt. There are also times when the right touch price of the SL before breaking back in the direction the trader wants and they miss out on making a profit. You have the same experience, haven't you?

Set stop loss 5 to 7 pips above or below the last change in direction on a 60 minute setting. That should eliminate most temporary wobbles or minor spikes. Remember that the banks that support the market through your broker will often create a temporary spike at the NY change over for the new trading day. I have always suspected this is a spike deliberately used by the banks to sweep up some profits by taking out unwary traders. I usually try to remove my SL for a few seconds at that time of day.

The above post is for your original stop loss on a new trade. Once you have a profit of at least 20 pips, move your stop loss to a profit position of two pips past the entry. According to statistics from studies by brokers, your percentage of profitable trades should always exceed 65% to be a profitable trader who can weather the storms of the market.

A stop-loss is a risk management tool that you can use in your forex trading to protect yourself from potential losses. A Stop-loss order is set up to stop trading automatically when it becomes risky for you and is designed to help you minimize potential losses if the market moves against you.

One tip for setting a stop-loss in forex trading is to use a percentage of your account balance as your stop-loss level. For example, you might set a stop-loss at 2% of your account balance, which would mean that if the market moves against you and your trade loses 2% of your account balance, your stop-loss order will be triggered, the trade will be closed. It can help to protect your account balance from being wiped out by a single trade gone wrong.

Another tip is to use technical analysis to help you determine where to set your stop-loss. For example, you can use chart patterns, trend lines, and other technical indicators to identify the essential support and resistance levels. These levels can be used as reference points for setting your stop-loss, as they indicate areas where the market may find support or resistance and potentially reverse direction.

It's also important to remember that stop-loss orders are not foolproof and can be subject to slippage. That is why it's essential to carefully consider each trade's potential risks and rewards and use stop-loss orders as part of a well-thought-out risk management strategy.

I usually place a stop loss in trading at the low of the most recent candlestick when they are buying the stock.

When determining a stop-loss order's dollar amount, the majority of traders rely on the percentage rule. Stop-loss orders are typically set at 10% of the purchase price by trader who wants to protect themselves from significant losses.