How to set a stop loss correctly when the profit is 10 points?

r2d2ku

New member
If you need as short a stop as possible, then here we determine a good trend for the MA. Masha should be as close to the schedule as possible. And the entrance at the beginning of the movement. And so with a sidewall, you can definitely catch a moose. There should be an angle between the grid and the graph. Well, the time frame is 5 minutes. You can set volumes.
 

sashkill94

New member
So this is the point, 10 points of profit-scalping in its purest form. In fact, if you put stops, then at least 30 points below the entry level, so that the usual moves do not hurt, but in this case, one trigger of the SL immediately covers 3 profitable trades and it turns out that the percentage of correct forecasts should be at least 75%. While writing, by the way, I thought that based on the percentage of profitable forecasts, you can determine approximately the level of SL that will allow you to stay in the black.
 

TomasP

New member
If the trader's trading strategy is built in the short term, the question arises whether it is appropriate to set the loss limit level for an open position. There is no doubt that short-term trading goals can be either short (5-10 points) or larger (50-100 points). Long targets can be expected during periods of strong market turmoil (important news events). But, as a rule, such dynamics are not observed every day. That's why the goal of 10 points is considered logical and quite justified. But what about the stop loss level? Is it justified to set a profit and stop at the level of 10 points? I personally believe that it is better to actively monitor the market during short-term positions, but do not set the stop loss level at all, or put it significantly higher than the profit level.

"This indicates a high risk," many traders will say.

You are right, but not so much that your rightness is considered true. For a trader, it is better not to have a fixed loss than a fixed one. And setting a stop loss of 5 points and a profit of 10 is not the right approach to short-term trading. In fact, You hope that the position will not go into negative territory at all. But this is not true. You cannot enter the market and expect that it will not bring a loss. But to reduce this loss, the opening of a position itself must be accurate. The more accurate the position, the faster it will go into a plus, the less chance you have of getting a loss on it. On the other hand, the short stop price will constantly hurt. After losing 5 points on a short stop, the trader is unlikely to calm down and open a new deal. Most traders who read this post will understand that this has already happened to them before. Expecting to lose 5 points, the trader makes a series of unsuccessful trades of 5 points, which leads to a loss of 50 to 100 points (in currency and volume, count for yourself). So for me, it is better to focus on the accuracy of the entry, and stop loss, with short goals, to make as long as possible with high-risk financial management.
 

ExtremeVolume

New member
Before you put a stop loss in 4-5 p-think about this. Even on the lowest-spread currencies, even on ECN accounts, the cost of opening a trade (spread or spread+Commission) will be at least 0.6-0.7 p (on a four-sign). If you have a stop of 5 p, then when you open a position, 12-14% of the stop is already passed. For comparison, if you put a stop of 20p, then when you open a position, you will have passed only 3-4% of the stop...
 

IQzero

New member
In scalping, you probably need to take a slightly different approach to choosing the stop loss level. And if you go to minus, it's not about choosing the SL level, but choosing the entry point and changing the analysis tools for selecting this point. Well, this is purely my personal opinion and I can be wrong.
 

Илья99

New member
Everything is individual,especially when the profit is only 10 points, since this is a complete scalping, with such transactions, the lot is usually large, otherwise there is no profit in this trade..if averaged, then a maximum of 3 points, the remaining 7 profit, and without a stop you can try, only that will depend on your discipline + we do not forget that you need to scalp in a sleeping market, let's say, between sessions.
 

sashkill94

New member
For a good scalping, in principle, is carried out with a constant presence on the market, that is, you monitor the situation and close the unnecessary lots yourself. But if you estimate, according to the old statistics of manual trading, how many transactions on average for your vehicle go to plus, and when scalping it is in any case the vast majority, then you can estimate what SL you can afford.
 

Unknown333

New member
This is a small take. Scalping and if you take into account the spread, then stop at least 15 points, because it can catch. And on small time frames, the price usually draws faster waves in my case, due to which it is possible to calculate such an entry where the probability of a stop is minimal.
 

Inito88

New member
Good afternoon!

I have been trading on the 5 minute mark and often use the "with trailing stop." Instead of "stop loss" I use a reverse order! It is morally easier for me to work in the lock and "sort it out". Perhaps this is a feature of my psyche)) The market has changed! Even 10 pipak in one movement on the M5 is already rare)) If you put a stop loss of 20 PIP and a take profit of 10,you will have a positive mathematical expectation of entering the market!
 

ProfFX

New member
I also used to believe brokers that you need to do TP=100, but SL=10,but it turned out that everything is exactly the opposite,so you need to do SL=100, TP=10-50, depending on your adviser or your vehicle,but it's even better to do at the beginning of SL=0,and to trawl it yourself further!
 

SergeyKos

New member
I tried scalping many times, and sometimes I managed to take good profits. But stops cross out a lot of profitable trades, so I came to the conclusion that if I scalp, then after entering, if there is no momentum in my direction, then I immediately leave my hand, and if there is at least 5-10 p., then I close most of the position, and leave the rest - either I will get a normal profit, or without loss.
 

Inito88

New member
Stops are often triggered and the price of the currency pair goes in the other direction ! Catching trend reversals is also difficult! When the Eurodollar fell 2 days in a row to 1.15 it was difficult to assume that it would immediately rebound to 1.171)) it is better to catch big profits-IMHO! at 10 pips, you can burn your nerves on experiences, lose sleep, and lose your appetite!
 

SergeyKos

New member
Before scalping on M1-M5, I look at the hourly chart and determine which way I will look for entries to the trade. However, I very quickly transfer the transaction to no loss, so many times I have to re-enter the transaction, sometimes even at a worse price than it was in the first transaction. Here's something like today's deal from the next branch.

https://forexdengi.com/threads/18004...1#post18368281
 

Al0878

New member
Stop here should be set as everywhere else, according to the classics-behind the local minimum or maximum of the working TF or at the point where you can see that the input pattern is broken. As a rule, in majors usually 10-15-20p is enough to understand the error. And if the price does not go, then you should not wait for a stop at all, but close either with a small loss or with a smaller profit. Here the point is that if you enter on pullbacks along the trend, the probability of the price passing through the trend by inertia by the size of the TP is much higher, so this trade can be very profitable.
 

sashkill94

New member
The problem is that scalping is essentially fishing for small moves, but the market is unstable and subject to movements when setting the SL at 10/15/20 points, we must expect that with a profit of 10 points from a positive transaction, at least 50%/ 60%/ 66% of transactions must be with a positive outcome in order for the trading result to be positive.
 

Gasi Burzhuev

New member
50, 60, 66% is math. In reality, no one in scalping has statistics on specific transactions. Rather, there are statistics on transactions, but there are no statistics on models, or as you say "muvam". There are no predictable trends in scalping that are subject to calculations of their viability or performance. Some friends in the neighboring showroom caught signatures for 2 years. The result is a loss and 2 years in the pipe. Pitifully.

More tenacious chuyka. It's the only thing that works in scalping. When the person on the eye can understand that "everything", in the next hour will not go up, or down or on the spot.

And testing of the models is eaata, gimor. You can catch 10 moose in a row on a luxury model on the M5 or M1. Nothing is predicted for M1 more than 5 points.
 

sashkill94

New member
What's wrong with math? What prevents us from making conclusions about the required stop loss level in reverse order based on the analysis of our trading over the past year? We take these statistics, look at how many % of positive transactions we have, if less than 60%, then close the terminal, withdraw the rest of the Deposit and forget about scalping at all, if more, then look at what level you can put SL to be in the black. There are no questions about graphs and smart models on the M5, on everything that is less than M15, there is more noise than movement, and it is better from the M30.
 

Gasi Burzhuev

New member
Well, how do you calculate that? Take a year of transactions and calculate, Yes, I beg you, except for the number of profits/moose there is nothing there, if you certainly did not make a screen after each entry into the transaction during the past year, and if there are 5 transactions per day, then more than a thousand screenshots, and then sat and analyzed these screenshots.


I certainly agree with the previous statement of the character AL0878, but I'm talking about something else, about the input, which is not always the same. The levels are different, the movings are different, the number and strength of the movings and levels are different, and therefore the pictures are different. Here the price broke down the 200th moving, then rolled back to it, pushed off and went down again. Someone sells, and someone is waiting for another rollback to the 200th and then sells. You can put a stop right behind this moving, above the nearest high. But on one TF it is the 200th moving, and on the other, which is more, it is generally the 21st, or even worse, the 9th. And on that TF where the moving 9 th price can "shuranut" up to 200 th to the top, so much so that on the M5 it seems that this is a trend. And on H4, it's just a rollback.

In short, I delved into verbiage. I mean, the deals are different. Can you imagine how many deals you made last year that were not using the system? How much do you personally have?

That is, you are trading the second bounce from the 200th moving average (for example) but they went on sale after the first breakdown how many times? And after the first rollback, how many times did you sell?

Do you think there are a lot of people who can boast that they only sell after the second bounce?

I just grabbed your numbers in this way. To indicate that this is just math. And the reality is very different.

I opened several deals on H4 this week, so there are different stops. Somewhere 100, and somewhere 200 points. But how else?

And that would be such foot porosity like Oh you should try it. And then, there are about 4 incorrect ones in this list. Well, that's the human factor.

Well, figure out who understands what deals are not correct.

And no one who trades hands is immune from mistakes. Here's what you need to fight, and not count the stop at 10 points of profit. This is not a problem. Here already 100 times told how to put a stop correctly.

Here are the real future statistics and I do not "photograph" these transactions. I already know where I was in a hurry. So to speak, I loaded the tools "to the pile". And one very much I liked the next day even added.


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sashkill94

New member
Little brother, you described everything very clearly and coolly, and I agree with you in almost everything. I myself do not understand the meaning of trading with 10 points of profit, because I do not see the point of conducting a thorough analysis for the sake of 10 points, and without analysis, you should not climb. But regarding mathematics, I do not agree, statistics are inexorable, I do not bark a remedy for a panacea, I only say technically at what level you can set the SL with a profit of 10 points based on your trading indicators and no more.
 

Al0878

New member
All this is good in theory, but practice shows otherwise. That's how confident you can be about a 50p profit? or 100P? Or get 10, but here and now confident? You can't formalize trading individually. And % of transactions is only good for mathematical theories. Practice is either there is a profit, or it is not.
 
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