Read up on the "Stop Offset" Method as discussed in previous iterations of the Journal. You may find some value in using The 'Stop Offset' Methods. In general, when trading off channels and Gaussians, as Price crosses the RTL (Right Trend Line) on increasing Volume, one exits - both locking in Profits and avoiding triggering of a stop.
Remember, stops used at the beginner level are designed to keep the inexperienced trader from doing something stupid while learning the methods and develop expertise. In other words, once the trader gains appropriate experience and hones their ability to recognize the signals provided by the market, stops no longer become a necessary component. Change occurs a great distance away from any 'stop' point, and as such, the trader makes decisions and takes action when appropriate to the market, and not, in response to a P & L statement.
- Spydertrader
