Is it wise to set nightly stop limit sell orders before you go to bed?

[beamin]

I have woken up to some surprises some good some bad. If you are day trading and not planning on going long but are actively trading daily, before you go to bed each night should you put some stop limit sell orders in just incase it crashes over night especially when we have seen the price double this month, meaning it could go back down to 15k btc quite quickly, is it just common sense to set orders for your worst case scenario before you go to bed or plan on not being able to trade for twelve hours or so? I really worked hard to trade my small amount of money up to what it is now. I would hate to see all that work gone one morning because the market does something crazy like it always does. What do you guys do? When it goes below 30k$USD I plan on selling off most of my coins that way I have locked in my profits keeping only a small amount to play around with. My successes so far has been a bit of education combined with a bull market so when I do something stupid I can just wait and renter the market. 

[1714803798]

1714803798

[xSkylarx]

This just happened to me so I would say you should really set your stop-loss before you sleep. I have an open position of this particular crypto and I'm confident that I won't get liquidated so I didn't set my stop-loss. I check it every time I get to wake up in the middle of the night and it's still fine but when I wake up in the morning I have no open order anymore meaning I got liquidated. What's funny is after it hit my liquidation price it started dumping hard.

[mk4]

It makes a lot of sense to use stop losses in a day trading perspective and I personally don't even know a single active trader that doesn't use it. The question is really not if you should use stop loss orders or not, but at what price should you set them? That's where it gets quite subjective; and you'd need to figure that part out yourself depending on what you're trading.

[Wind_FURY]

Shower thought. Can anyone, that’s not the exchange itself, see all the automatic stop-limit sell orders placed by other traders? The market makers of the exchange perhaps? If yes, then I believe that it would definitely NOT be wise.

[kolesozw]

It all depends on your trading goals. I used to use overnight stop-limits, but after few pleasant and not so pleasant surprises, I start to cancel all orders before going to bed.

Now I keep running just a few slow bots for specific markets and nothing mad-moving like BTC/USD. This improved my sleep quickly as before that I had the bad habit of checking my orders mid-night.

[hatshepsut93]

I think daytrading should be about trying to guess the local highs and lows, so you should be closing all your positions when you aren't ready to trade. With how volatile crypto is, it's very likely that your stop-loss orders will be filled, so you would still be losing money. If you were trading like normal, you could have noticed an unfavorable pattern and closed your positions way earlier than a stop loss would occur. The only way to keep daytrading while away is with bot, but you need to really know what you are doing.

[wxa7115]

I have woken up to some surprises some good some bad. If you are day trading and not planning on going long but are actively trading daily, before you go to bed each night should you put some stop limit sell orders in just incase it crashes over night especially when we have seen the price double this month, meaning it could go back down to 15k btc quite quickly, is it just common sense to set orders for your worst case scenario before you go to bed or plan on not being able to trade for twelve hours or so? I really worked hard to trade my small amount of money up to what it is now. I would hate to see all that work gone one morning because the market does something crazy like it always does. What do you guys do? When it goes below 30k$USD I plan on selling off most of my coins that way I have locked in my profits keeping only a small amount to play around with. My successes so far has been a bit of education combined with a bull market so when I do something stupid I can just wait and renter the market.  

This is odd, if you are a day trader then for the most part you should never have any position open and you should instead  close them down as soon as you decide to call it quits for the day, after all that is what it means to be a day trader, you only make trades that last a few hours at best.

However if you are going to keep some trades open during the time you are sleeping then you are more of a swing trader and without a doubt you should set a stop loss just in case the price crashes while you are sleeping, it could be convenient to also set up an alarm system that sends you a notification when a stop loss is reached, this is going to be bothersome but it is a life saver when the market is moving incredibly fast as that is when you do not want to miss a single minute of the markets due to the high volatility and the potential profits they can give to you.

[btc78]

This just happened to me so I would say you should really set your stop-loss before you sleep. I have an open position of this particular crypto and I'm confident that I won't get liquidated so I didn't set my stop-loss. I check it every time I get to wake up in the middle of the night and it's still fine but when I wake up in the morning I have no open order anymore meaning I got liquidated. What's funny is after it hit my liquidation price it started dumping hard.

You can even put stop loss when you are going out and may gone in front of PC for a day  so why not when you are sleeping ?
Stop/loss is created for this occasion when we are AFK so i don't know why ask this here .
Unless you are a 24/7 trader that really don't want in bed 
as Long as you put your target buy/sell orders then best to put this before sleeping .

It all depends on your trading goals. I used to use overnight stop-limits, but after few pleasant and not so pleasant surprises, I start to cancel all orders before going to bed.

If you are not in a Hurry to profit(or lose of course) then cancelling is one best way but for OP? since this is His concern then for sure he wanted to continue the goal even when he is in Bed.

[pooya87]

Stop limit orders aren't any different from anything else you would do as a "trader" and whether or not using them is wise depends on your own speculation about the market again as a "trader". You have to speculate whether price is going to fall or rise during the time you are away and whether it will remain at the final price or will it be "fall and rise" or "rise and fall" (aka normal fluctuations) during that time.
For example you could place a sell order at $35k and price touches $35k and bounces back to $38k and you come back to see your account no longer has bitcoin balance but a fiat balance and you've lost a lot of money.

[maydna]

It is wise, but it is not right because it is better to close your trade without having a plan to buy or sell when you want to sleep. The market will not always move to the price you want, and sometimes it could go down or up. So if you think you want to sleep or doing something which is not related to trade, you better don't do anything because you will not know what will happen to the market.

That is what I did so far because I don't want to see when I woke up, I buy or sell automatically without analysing what happened to the market.

[Leviathan.007]

Stop limit is a great tool if you know how to use it. Depending on your risk level and strategy you can adjust the stop limit. But, generally, I would suggest you to don't go to bed without of stop limit. Because, anything can be happen in the market specially when you are talking about crypto market. You will need to also read some books and watch some videos about risk management to make sure how to adjust your stop limits and targets. However, some people use stairs strategy when they place stop limits. So, they will minimize the money they lose.

[GreatArkansas]

Some traders, especially crypto Twitter traders. Sometimes I can see they are tweeting about, they are closing their trade position before going to sleep, or no open position while they are sleeping, I believe they are using futures trading and probably a high position size or leverage.

For the OP, putting a stop loss is a must for every trade, why even if you don't go to bed, you are not putting stop loss on your trade? Market crash or huge pump can happen anytime, that's why stop-loss is very important.

[dothebeats]

This should be next to common sense IMO, given that bitcoin or crypto in general is a highly volatile market that gets from the extreme highs to the extreme lows in a matter of hours, at times. Or, you could just close your position and start your day with some fresh trades on the next morning. Either of the two works, though of course IMO the latter is the safest considering that it doesn't allow your money to be placed in the open chaos of the market while you are sleeping.

[Altcoinsintel]

My successes so far has been a bit of education combined with a bull market so when I do something stupid I can just wait and renter the market.  

With total respect to you, you were just lucky. Day-trading is not for everyone and if you are asking about stop-loss, it means you don't day trade for long enough. Education and bull market means nothing. As you said everything can get red very easily, and too many replies I've read above means absolutely nothing and coming from people that probably never day-traded otherwise they would have had the experience of having your stop-loss not filled and getting liquidated. You aren't safe with a stop-loss, especially during high volatility, however you should set it correctly and at levels according to your trades. There are traders that don't use stop-loss at all for this reason, and use higher leverage, with smaller trades.

[slaman29]

My friend stop limits are always wise in trading. Stop loss and Take Profit. It doesn't matter if you're offline or not, you shouldn't be having open ended orders. Always have a target for entry, and for exit. In fact, even if you're online you shouldn't be sitting and watching charts and waiting to pull the trigger manually!

[Similificator]

I do agree with this strategy since this has happened to me countless times and have learned from them. which is why I have applied this strategy long ago. which is why I get to sleep better at nigjt compared to when I still didn't use such strategy. I remember having the need to check my phone or laptop every time I wake up in the wee hours to pee. I really recommend this strategy to everyone.

[Distinctin]

I do agree with this strategy since this has happened to me countless times and have learned from them. which is why I have applied this strategy long ago. which is why I get to sleep better at nigjt compared to when I still didn't use such strategy. I remember having the need to check my phone or laptop every time I wake up in the wee hours to pee. I really recommend this strategy to everyone.

Stop limit is very important when you are in trading especially when you are not a full-time trader.

You are buying at $5 before you sleep or going to the office and when you get back it only traded at $1. Not sure it was surprising but this really meant so hard to think why I'd never do the stop-limit strategy.

Anyway, it is just a sort of learning experience. We can never be good at trading if we never have these failures and success.

[lifeforcepools]

Anyone who does something stupid will face problems. Be vigilant. Do what you feel.

[kryptqnick]

I think it makes sense to cancel any of your orders for the night because in case something happens, you won't be able to react in time. Then again, if you're putting the price at which you're definitely willing to sell (or to buy), then it doesn't matter if the order gets filled at night or not. I'd prefer to be at least hypothetically in control and thus wouldn't allow any trading actions with my money while I'm sleeping, but then again, when I tried trading back in 2017, I can't say that I was successful.

[beamin]

It all depends on your trading goals. I used to use overnight stop-limits, but after few pleasant and not so pleasant surprises, I start to cancel all orders before going to bed.

Now I keep running just a few slow bots for specific markets and nothing mad-moving like BTC/USD. This improved my sleep quickly as before that I had the bad habit of checking my orders mid-night.

How do you get these bots? I have all kinds of good ideas that I can only implement by constantly watching and putting in market/sell  orders if I could automate this it would be a huge money maker. Kind of like hyper trading where I make a few dollars every few minutes and when the market dips the "program" just pauses at the  last buy order until I do a manual sell or take a small hit then I could reset the bot. Basically it would sell everytime it goes up 5$ buy everytime it goes down$5. Or make it a % where it would sell more/less based on % change.

Im going to start setting stop limits before bed at my break even price which at this point is way lower then market.