Our 400,000 Trade Test Proves Using Stops Is Not Very Bright

[botpro]

Badmouth? Me? I merely posted results of my findings.

BS you have posted. Give proof!

 

[romik]

BS you have posted. Give proof!

I will after OP shows proof that confirms his outrageous statement.

P.S. Hope you're getting paid for it.

 

[Buy1Sell2]

Stops are cheap profit for some brokers...
Never use stop orders.
Fire a close order only if its time has come...

Yes. misplaced stops are a real boon for the broker

 

[Buy1Sell2]

Admitting you don't use stops in trading is tantamount to not wanting to admit when you are wrong. Period.

 

[dartmus]

Admitting you don't use stops in trading is tantamount to not wanting to admit when you are wrong. Period.

2 thumbs up. .....and worth repeating ....

Admitting you don't use stops in trading is tantamount to not wanting to admit when you are wrong. Period.

 

[Buy1Sell2]

In my back testing as soon as I open up the stop distance the profit increases.

As do the size of the losses.

 

[Buy1Sell2]

If I had no stop loss on a long position in 2008 I would be ahead by quite bit right now. So, my backtesting shows that stop losses make no sense.

 

[Buy1Sell2]

So there was an optimal point to place stops.

Yes

 

[Buy1Sell2]

Yes, i960, a very important part of your statement is "Just because it eventually recovers".

I have learned over many years of trading, 36 in fact, that one of the BIGGEST cost and effect on my trading performance is "OPPORTUNITY COST'. Many people seem to never factor in the cost to them of sitting in a trade over time! So what if it eventually recovers. Was waiting for that to happen the best use of your capital over that time period. How much profit was missed while waiting on a trade to develop. Both time and capital are limited. Use both wisely. And not just your time, but the time the market is moving past you. Once a trade is missed, that trade is GONE FOREVER!!!

Yep. just let the stop happen and move on to next trade

 

[i am nobody]

Apparently nobody understands that this discussion is useless.

1. There are thousands of different trading systems.
2. Everybody on ET has a different system.
3. Some systems need close stops.
4. Some systems need stops far away.
5. Some systems need no stops.

How on earth can you make 1 general statement that applies for all?
Being able to think in greyscales instead of black and white is a proof of intelligence.

Marketsurfer is a champion in black and white statements.