Overnight asks - Does Anybody Here Have Stops in Their Mutual Fund or ETF Fund? For Cryin' Out Loud!

[easymon1]

Someone is trying awfully had to be the smartest - word dropping - person in the room.

Whatchoo talkin bout, Willis, lol
LnS disputed the figures, so provided the source.
Is that so wroooong, lol?
Relax, have a homebrew my friend.

Word dropping, never heard that phrase before. Have heard of name dropping but... word dropping. I like it. Where'd you come up with that one?

 

[longandshort]

I did?
Where?

First page

 

[easymon1]

I'm assuming your reading comprehension is average, so why would you choose to interpret what I said that way? You made the assertion that trading without a stop loss is absurd, I was pointing out that is, in fact, not so.

Maybe you have me confused with someone else who claimed "that trading without a stop loss is absurd" hell i don't care what anybody wants to do with thier money, why should I be. I'll promote that they be as reckless as hell with it. lol

Relax Have a homebrew, my friend.

First page

Nice try, lol.
We both know better or you woulda quoted that post, nice try tho.

You make any money today, LnS?

 

[easymon1]

LnS, hey your jibe reminded me so I checked that first page, lol.
Damn, check it out holmes. You're right!

Don't need no stinking stops? Fine by me for you.

My humblest apologies.

I shall Never Use Any Stops Forevermore.

And the Rest Of You Should Do Likewise.

When It's Time To GTFO, Overnight will Ring The Bell and Hit The Red Button.

This just got easier. lol

I'm gonna go Have a Homebrew.

 

[deaddog]

This tells you to place stops at 15% of your recent high. You will never be 100% right.

I'm happy being right 50% of the time.

You can do that, but it is a trading cost. You should compare your realized returns with the hypothetical returns of a buy and hold on the names you bought previously. E.g. compare returns on a monthly basis (what did I actually do vs buy and hold on things I bought).

In a raging bull market my system lags and look pretty damn good in years like 2008 & 2020.
Keep in mind the first priority is to protect capital.

I prefer to keep things really simple. Although I still struggle with whether I should sell too soon or too late.

Yeah, I said earlier that for small traders, a stop loss is fine. When you are trading size, your position might be multiples of the daily average volume. You cannot use a stop loss order to exit from a position when that's the case.

I don't think that'll be a problem. Part of my criteria is liquidity.

 

[easymon1]

Someone is trying awfully hard to be the smartest - word dropping - person in the room.

Dude, I found a New Word and Boy am I Excited!

Check it out, tell me what you think...

Old and pedestrian, "I shall Never Use Any Stops Forevermore."

New and Improved, "Henceforth I'll Use No Stops."

Oh, yeah, and saves space too.

Well, what do you think, my man?

Good Word Drop, no?

 

[longandshort]

Dude, I found a New Word and Boy am I Excited!

Check it out, tell me what you think...

Old and pedestrian, "I shall Never Use Any Stops Forevermore."

New and Improved, "Henceforth I'll Use No Stops."

Oh, yeah, and saves space too.

Well, what do you think, my man?

Good Word Drop, no?

No one said not to use stops lol, I just defended the notion of not using stops.

And yes, I did make some monies today (2% gain).

 

[easymon1]

No one said not to use stops lol, I just defended the notion of not using stops.

And yes, I did make some monies today (2% gain).

Post up a chart over at

Any daytraders get their numbers Today?
https://www.elitetrader.com/et/threads/any-daytraders-get-their-numbers-today.359522/

_What was moving for you?

_What trading method or technique paid off?

_What time of day gave you the best return for your time?

_Etc, ?

Hindsight is fine for the purposes of this thread, concerned with
What works, When, on which Products and Timeframe charts.

Post up your charts if so inclined... marked up to show what you are talking about even better.

 

[longandshort]

View attachment 261397

Post up a chart over at

Any daytraders get their numbers Today?
https://www.elitetrader.com/et/threads/any-daytraders-get-their-numbers-today.359522/

done

 

[Overnight]

My point was that you don't need a stop loss. If a stop loss is your risk management strategy, it is not enough. I don't know what Overnight does to manage risk, but that he does not use a stop loss doesn't make his strategy any less valid.

As I have mentioned in the thread here, and which is pointed to in my journal, I have given up on using stops for now. I trade only futures, and am certainly not trading size. My risk management boils down to, "I do not have any in the classical sense."

The question easymon1 used to quote me from another thread was in the context of..."If you are investing in a mutual fund or ETF, why use a stop? It is a long-term investment."

If you buy an instrument for trading, then you will naturally treat it as a short-term vehicle for your monies. So stops may be viable mechanisms to reduce risk of major loss. But instruments like low-cost no-load mutual funds are buy-and-hold strategies, so why use a stop there? They are LONG-TERM.

That is how I am treating the futures currently. Long-term investments, but they are levered. I am more comfortable working with those than things like 3X inverse ETFs.