Stop loss hunting on cover and bracket orders

[newtrader101]

If you don't believe in placing the stop loss in system...then just don't place it.
Just wait and watch.
It is just matter of time. Market will teach you FEAR.

Bracket order or not, just tell me your entry and i will predict your stop loss zone with more than 90% accuracy.

Work on entries and stop loss placement strategy..that will be better.

Trader987, thanks for your comment.
For this range below where would you recommend the stop losses?

 

[Trader987]

Trader987, thanks for your comment.
For this range below where would you recommend the stop losses?
View attachment 31458

I said you tell me your entry and i will predict your stop loss....thats not hard.
Most of the people put their stop loss at swing High/Low.
You don't need to be operator to figure that out.

Remove this fear of somebody is behind your stop loss from your head.
Once your stop loss being hit, you have only two choices. Accept the loss and move on Or re-enter in to same trade if its again going into your anticipated direction.

If your strategy is for Trending market, your stop losses will get hit in Sideways market.
If your strategy is for Sideways market, your stop losses will get hit in Trending market.

Is it really hard to understand?
Test your method through paper trading...i guarantee you that your stop losses will still be hit.
There is no strategy where your stop losses will not be hit.
Always think in terms of probability. Nothing is certain here.

 

[newtrader101]

Trader987, thanks for your comment.
For this range below where would you recommend the stop losses?
View attachment 31458

@Trader987 , if I want to fade this range, i.e go short at the top and go long at the bottom, is there a safe place to keep the stop?

 

[haruns]

@Trader987 , if I want to fade this range, i.e go short at the top and go long at the bottom, is there a safe place to keep the stop?

in this example fading this move will be low probability trade as price approaching this level third time and level must have become weak. its more on bullish side see the range of the two green candles . so sensible idea is to go long with SL below 3800.

 

[Loss_Lover]

Volatility never lies... Market makers produce volatility... In order to escape stop-loss hit, best way is to use this volatility as our weapon. For more details find Kase's Dev-Stop here, also read the entire e-book.

More in TASC October 1993 Edition Volume 11 Issue 10: Cynthia Kase - Redefining Volatility and Position Risk, Stocks & Commodities

Basically, if we use standard deviation of the True range (as per our affordable risk-profile) it's not that we completely eradicate stop getting hit but we reduce the chances statistically by more than 80%-85%. If you catch a trend, then, no worries just trail your stop until it actually get hit for a profit. Choppy side-way markets are more prone to accidents, I mean, Stop-hits! But now that since you are using standard deviation of the range, you chances increases of not getting hit. In these cases, if your stop-loss is getting hit, often, it means that the market has changed her mood, I mean, direction. No Broker's platform provide this. So, one need to custom code it - AmiBroker AFL works as usual!

 

[against_tides]

Does anyone relies on supertrend indicator...for high volume stocks it works good

 

[sanju005ind]

Does anyone relies on supertrend indicator...for high volume stocks it works good

All indicators work good. Provided it is used consistently in conjunction with price action. You need to settle down to one or two indicators which you are comfortable with. Price is primary indicator. The others are derived from price calculations. Indicators should be used as secondary confirmation.