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where to put the stoploss?

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In trading industry one of the most frequently asked question is "where to put the stoploss?"
This is really a challenge.
The solution lies on two half. First is the chart pattern. And second is the area of value.

Second one is more important as it is more relevant than the first one. Because looking at the chart pattern nobody can tell you on the shorter time frame where to put the stop loss. Bigger picture like a day chart can confirm it. So, do technical analysis well and observe the pattern. This is one cool idea.

Another is Area of value.
Now, what is the area of value. It is simply the support and resistance. You can also consider the fibonacci level and pivot point. Mean, You can put the stoploss below/above these value. How much below/above. Exactly nobody knows. But relevant to the market movement of that particular day.

This is the coolest idea that I have learnt where the stoploss should be.

The two term is well known between the day trader support and resistance and the fibonacci level. If you don't know. Do check in the technical analysis section of any website. You will be familiar with these.

Both are well researched method and has been practiced by millions trader. Known among the pro trader community.

Happy trading.



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