Rule for Stop Loss

Questions:

1) Do you move your stop losses after you enter your trade?

2) Do you get stopped out at break even all the time only to see the trade take off in your favour?

If you are doing these things you are likely trying to control market and by doing so you are voluntarily decreasing the probability of your trading EDGE.

If you simply SET and FORGET all your trades and let the market play out either by Hitting Stop Loss or your target, you are allowing your trading EDGE to work.

By adjusting SL - means you are not confidence with your Trading Plan and You Don't Accept The Fact To Loss Your 2% Risk. After large enough of samples of trading - you should believe the reliability of your trading SETUP.

All these action are born because of Lack of Patience and Until you understand that You Do Not Need to meddle with your trades after there are LIVE, means your are going to lower the probability of your Trading EDGE.

Look Here:Keeping Loss Versus Adjust SL to Break Even.

Strategy: Risk $100. Reward: $200

2 trade potential losing trades stopped at break even = $0

2 trade potential winning trades stopped at break even = $0

2 Losing Trade : $200

2 Winning Trade : $400

So net profit for patience, let the market play out and trust you trading Edge by doing setting and forgetting give you $200.

By trusting or mastering your trading Edge like market flow analysis on multiple time frames, follow the boss and using price action setups at right place and right direction -  you will find that you naturally increase your patience in the market because you belief on what you doing.

If you belief your trading Edge, Learn to Pick and Choose Your Trade Wisely - You will success in your trading in Longer Term.