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dene · 29-01-2003, 20:53

As a starter to this game, I have latched on to the fact that setting stops seems to be the difference between winning and losing. Trouble is, I can't seem to find the right formula.

TC suggests 30 -35 pips, but with GBP at 1.6xxx and JPY at 118.xx, surely there is a % difference factor here? i.e. 10% move on the latter is much less than the same percent on former. I'm also a bit uncomfortable losing 120 pips across the majors if things go belly up, which has happened (partly due to time differences here--I'm often asleep when the good (and bad) stuff happens

My current strategy is to ramp up my stops progressively as the trade starts going my way (hah, as if!), yet I see others prepared to move them both ways. Why have stops at all then?

Does anyone use ATR, SAR or any other fancy technique? Or is it just rule of thumb?

29-01-2003, 20:53	#1
dene level 1 Join Date: Jan 2003 Posts: 1 Downloads: 0 Uploads: 0 Rep Power: 0	Stops are key? As a starter to this game, I have latched on to the fact that setting stops seems to be the difference between winning and losing. Trouble is, I can't seem to find the right formula. TC suggests 30 -35 pips, but with GBP at 1.6xxx and JPY at 118.xx, surely there is a % difference factor here? i.e. 10% move on the latter is much less than the same percent on former. I'm also a bit uncomfortable losing 120 pips across the majors if things go belly up, which has happened (partly due to time differences here--I'm often asleep when the good (and bad) stuff happens My current strategy is to ramp up my stops progressively as the trade starts going my way (hah, as if!), yet I see others prepared to move them both ways. Why have stops at all then? Does anyone use ATR, SAR or any other fancy technique? Or is it just rule of thumb?