Would you still use stop loss

[henmark]

I would like to know under this thread..

For those who actively trade (Day traders)
Between stop loss and missed entry which one messes with your emotions the most.

I feel it's stop loss, but the missed entry I encountered today made me rethink lol..

Missed entry, your bias is right which means it support your strategy
But stop loss totally disrespects you  and you start questioning your strategy which can be very exausting

But regardless one gets emotions more so I will like to know from the few traders who come across my post

Well, for me, it will be missed entry. I do a lot of research before setting my stop loss so any error in judgment there is taken as a learning opportunity. But a missed opportunity for me is something which makes me regret. I know catching every opportunity is not possible but yet we feel bad sometimes for the opportunities we missed. At the very beginning, I used to take impulsive decisions and open another trade just to make up for the profits I missed. I realised that was a big mistake and we never should rush taking trades.

Stop loss does make you question your strategy and I don't think there is anything wrong in it. Sometimes, we have to accept the fact that we are not always perfect and we will need to learn from ours or others mistake.

[Zanab247]

The best stop-loss is organized like this. You have 1M SAT, but you are not willing to lose more than 200K SAT. Then you simply deposit 200K SAT on the exchange, and that becomes your stop-loss. The rest you will not lose under any circumstances whatsoever: even if the exchange disappears.

That is when you have big amount of money to involve in BTC trading that will make such idea to come to your mind not to regret of using such amount of money to trade. You will not apply stop because you know that you are not using the whole $1000 to trade, and even though you are not making it from trading the way you want. You know that other investment will be bringing profit that will not make you to lose hope in your BTC. It depend how you want to take your risk on BTC trading, because there are some risk you will take that will make you to regret for amount of money you will lose but if you understand the risk you are planning to take it will help you to achieve what you want from your trading without involve stop loss in your trading.

Assume some traders know how to share their capital to trade without involving stop loss, it will make some traders to be bold in anything they are doing in their BTC trading.

[Finebone]

Here is it
If you have $1000 on your derivatives trading account on an exchange, you use $200 (max) which is 0.2x leverage to trade daily. Trading just bitcoin or less volatile asset like oil, natural gas or gold. Would you still be using stop loss?

It all depends on the situation at hand. If the $200 is an amount I am willing to lose, I will not be using stop loss to trade because I will still be fine if the market didn't go as expected, but if the $200 is an amount of money I am not willing to lose, then setting stop loss is a must. But if for any reason I find myself in such a situation whereby am willing to trade and lose $200 daily, and I have $1000 in my derivative trading account, I would rather trade with it all, with no leverage, and set my stop loss at $200, than trading with that $200 with leverage attached.

[Wakate]

Here is it
If you have $1000 on your derivatives trading account on an exchange, you use $200 (max) which is 0.2x leverage to trade daily. Trading just bitcoin or less volatile asset like oil, natural gas or gold. Would you still be using stop loss?

It all depends on the situation at hand. If the $200 is an amount I am willing to lose, I will not be using stop loss to trade because I will still be fine if the market didn't go as expected, but if the $200 is an amount of money I am not willing to lose, then setting stop loss is a must. But if for any reason I find myself in such a situation whereby am willing to trade and lose $200 daily, and I have $1000 in my derivative trading account, I would rather trade with it all, with no leverage, and set my stop loss at $200, than trading with that $200 with leverage attached.

This should not be a reason for you not to use a stop loss unless you are gambling.
It is only gamblers that will be trading like they have nothing to lose. Those that are trading must ensure they has risk management when trading and the use of stop lose is part of the risk management we need to use to reduce the possibility of losing money anyhow due to the market volatility that can happen at any time. Traders must ensure they safeguard their portfolio from getting drained.

[Leahized]

Here is it
If you have $1000 on your derivatives trading account on an exchange, you use $200 (max) which is 0.2x leverage to trade daily. Trading just bitcoin or less volatile asset like oil, natural gas or gold. Would you still be using stop loss?

Stop loss is only used when trading with highly volatile coins. Because those coins can move in the opposite direction of observation at any time. However, if ever trading with less volatile coins, it is not mandatory to ever use a stop loss. Because a patient person can control it very easily. Another thing is, if ever high leverage is used. Then there is a possibility of liquid zero very quickly. That is why it is better to use stop loss, this avoids high risk. But how a trader trades depends on his strategy and observation.

[Royal Cap]

I don't think there's a one size fits all answer. Using low leverage and small positions may make the need for a stop loss seem less pressing than it used to be but it's hard to say that it's not necessary at all.  Another thing is that many people use stop losses not just to limit losses , but also to stick to their plan. If someone can control risk in some other way and not break that rule then that's also a strategy. But I always believe in the saying always be careful. Because no matter how volatile the market is, without a stop loss a major disaster can freeze your entire balance for months or years.

[snowpega]

Read this before you choose either yes or no.

I saw someone posted this and I think I find a good patient trader that may not be using stop loss, unlike many people that are not trading, but posting that people should use stop loss regardless of the trading plan that the person is having, or people that may be part of the 85% of traders that are losing, using high leverage and advising people to use stop loss. I always say not all trading strategies require stop loss. Patient trading strategies which is the best does not require stop loss, but the profit can be slow but probably gradual.

Here is it
If you have $1000 on your derivatives trading account on an exchange, you use $200 (max) which is 0.2x leverage to trade daily. Trading just bitcoin or less volatile asset like oil, natural gas or gold. Would you still be using stop loss?

Since we know the fact that the ratio of losing trades is higher than the ratio of winning trades. So, even if one has good knowledge or experience about trading, then I still recommend using a stop-loss filter to overcome/prevent any loss. You have $1000 available, and you are only using $200 out of it. So, my question is whether you borrowed or were gifted these $200 by someone else. Obviously not. So, why would you even risk that amount out of the net amount?

You should also care about that amount and use a stop-loss filter to prevent any loss. Apart from that, I am the kind of person who trades less, and if I take any trade, I only do it in the spot section. And in my whole career in the crypto space, I have never done a single trade in the future section. I always avoided it for many reasons. Lastly, my answer is "yes" from the poll you started.

[impulse709]

Here is it
If you have $1000 on your derivatives trading account on an exchange, you use $200 (max) which is 0.2x leverage to trade daily. Trading just bitcoin or less volatile asset like oil, natural gas or gold. Would you still be using stop loss?

It all depends on the situation at hand. If the $200 is an amount I am willing to lose, I will not be using stop loss to trade because I will still be fine if the market didn't go as expected, but if the $200 is an amount of money I am not willing to lose, then setting stop loss is a must. But if for any reason I find myself in such a situation whereby am willing to trade and lose $200 daily, and I have $1000 in my derivative trading account, I would rather trade with it all, with no leverage, and set my stop loss at $200, than trading with that $200 with leverage attached.

This should not be a reason for you not to use a stop loss unless you are gambling.
It is only gamblers that will be trading like they have nothing to lose. Those that are trading must ensure they has risk management when trading and the use of stop lose is part of the risk management we need to use to reduce the possibility of losing money anyhow due to the market volatility that can happen at any time. Traders must ensure they safeguard their portfolio from getting drained.

Despite only trading a small percentage of my money. I believe it is still important to have a stop loss in place. Do not vary the importance of risk management because of the size of the account. Market prices can change quickly and waiting for the market to rally can easily result in a much greater loss than the initial one. When times get tough, a stop loss will help prevent losing trading capital and it will help to keep your emotions in check. While ignoring it may prove to work sometimes, over time, it helps a trader to be more profitable by practicing disciplined risk management.

[Charles-Tim]

Despite only trading a small percentage of my money. I believe it is still important to have a stop loss in place. Do not vary the importance of risk management because of the size of the account.

It depends. A good trader will calculate the risk before opening any trade. Example is when bitcoin fell from $120000 to $100000 which means huge volatility.

A good trading that can afford to lose $250 will only use the $250 to trade. That would be $50 loss when it fell to $100000. But bitcoin increased above $115000 which will reduce the loss significantly, provided if the trader see bearishness again.

But someone having $250 will want to use 5x leverage or more to trade and lose.

Some people can use stop loss, but it is highly unnecessary for some traders.

[alastantiger]

I will never ignore stop loss when trading, this is something I cannot miss regardless of the strategy I use, stop is one of the most useful features to help minimize risk and prevent traders from bankruptcy especially when they cannot fully monitor the market until their execution is complete, for me stop loss is more than just a strategy, it minimizes risk and take profit helps minimize greed.

Any trader that has decided not to make use of stop-loss is a trader that has chosen to have more losses than profit. I have never open a trade without putting a stop loss even when I am presently monitoring the trade, I have experienced how quick the market can be fast before you realize it, the price of the coin that you are monitoring has fallen or increase more than the price range you are expecting to sell or enter the market.

Stop loss has helped me a lot and I believe it is one of the options that makes trading less risky. Stop loss can also turn into a take profit options hence it is very important that we have this option available on our trade despite how professional or good of a trader we think we have become.

[Adams0001]

Stop loss is only used when trading with highly volatile coins. Because those coins can move in the opposite direction of observation at any time. However, if ever trading with less volatile coins, it is not mandatory to ever use a stop loss. Because a patient person can control it very easily. Another thing is, if ever high leverage is used. Then there is a possibility of liquid zero very quickly. That is why it is better to use stop loss, this avoids high risk. But how a trader trades depends on his strategy and observation.

When you’re new to trading even you’re staking with a low amount you should put a limit and put stop loss so that you can’t lose everything you risk but some that have believed in what they are doing or let me said people that have enough funds and take risk don’t usual have time for stop lost sometimes but that is very important for traders because he make you feel calm and stake what you can afford to lose. Trading is not something that you can be rushing to get quick money on you need to understand how he goes so that you can be minimizing your risk

[kawetsriyanto]

Using stop loss isn't a must. It is okay if you assume you don't need to use it. However, if I were you, I will keep using the stop loss because I don't want to lose bigger money than I expected. Moreover if I trade random coins in crypto, using stop loss becomes a must. However, if you only trade Bitcoin and you are ready to hold a long time, there is no problem to ignore "stop loss".

Stop loss has helped me a lot and I believe it is one of the options that makes trading less risky. Stop loss can also turn into a take profit options hence it is very important that we have this option available on our trade despite how professional or good of a trader we think we have become.

How stop loss can switch to profit option? As far as I know, stop loss functions to avoid severe losses.
Of course, stop loss is very helpful. I also feel the same that using stop loss has prevented me from few possible severe losses.
Well, even professional or experienced traders, they probably also use stop loss.

[Peanutswar]

Here is it
If you have $1000 on your derivatives trading account on an exchange, you use $200 (max) which is 0.2x leverage to trade daily. Trading just bitcoin or less volatile asset like oil, natural gas or gold. Would you still be using stop loss?

Stop loss is only used when trading with highly volatile coins. Because those coins can move in the opposite direction of observation at any time. However, if ever trading with less volatile coins, it is not mandatory to ever use a stop loss. Because a patient person can control it very easily. Another thing is, if ever high leverage is used. Then there is a possibility of liquid zero very quickly. That is why it is better to use stop loss, this avoids high risk. But how a trader trades depends on his strategy and observation.

Actually not only in the high volatile coins but most of your trades this feature is applied by the CEX because they let their users can make a trade freely without overthinking their trades or else might liquidated we know how does the market of the crypto moves right so for me its essential to have Stop losses and Take Profit feature will be use. Unless you are confident about your position and your budget is way too deep and willingly to make an open trade.

[Oshosondy]

Actually not only in the high volatile coins but most of your trades this feature is applied by the CEX because they let their users can make a trade freely without overthinking their trades or else might liquidated we know how does the market of the crypto moves right so for me its essential to have Stop losses and Take Profit feature will be use. Unless you are confident about your position and your budget is way too deep and willingly to make an open trade.

What did you means as if 'your position and your budget is way too deep and willingly to make an open trade'. I am talking about too deep? you mean low amount of money?

Those that use high amount of money and high leverage will tell you that they are good traders, but later they will be played by their own emotions and they will notice that they are always losing more money than they make money.

I wish we can gather real traders here and do a survey on them and ask them questions like are they making money from trading and how useful stop loss is to them.

TP is good, only what I do not like is SL.