Stop Loss for important stocks market
STUDY TARGET/ STOP
~ Lots of query regarding this point see there is nothing exact target while stop loss should fixed means your risk should be fixed
~ reward is unlimited when you feel now stock reach at area where it spent more time and not move you may booked part profit
~ another way is you can trail your profits ( Suppose you bought xyz stock at 100 rs and stock move 140 rs then as per chart where you see that level is strong it not break easily use that level as trail stop , let suppose that level is 130 , now stock move 140 to 160 so again your trail stop also move from 130 to next strong level let suppose it 140 and now stock moving 160 to 140 then you may booked fully )
~ I gave you idea rest you can change things according to you
~ And same thing you bought at 100 and your stop is 90 and stock moved 90 and below 90 then you need to booked loss as per plan no need to wait and hope if you are trader
~ reward is unlimited when you feel now stock reach at area where it spent more time and not move you may booked part profit
~ another way is you can trail your profits ( Suppose you bought xyz stock at 100 rs and stock move 140 rs then as per chart where you see that level is strong it not break easily use that level as trail stop , let suppose that level is 130 , now stock move 140 to 160 so again your trail stop also move from 130 to next strong level let suppose it 140 and now stock moving 160 to 140 then you may booked fully )
~ I gave you idea rest you can change things according to you
~ And same thing you bought at 100 and your stop is 90 and stock moved 90 and below 90 then you need to booked loss as per plan no need to wait and hope if you are trader
DISCIPLINE
~ DISCPLINE is very necessary in trading~ I shared many stock your responsibility to trail it or booked it wither in loss or either in profit
There is no any fixed rule and every chart have different behaviour so you just control risk only once you enter in stock only controling risk is in your hand upside is unlimited.
Important points to take care while trading
So many query came so let me try to gave you idea about risk management
1. First of all you had your own trading strategies / idea ( Here i see many people following others only while doing self so many hurdle came )
2. If you had plan then also hurdle came ,Yes you heard right hurdle may came but how to face that part and how to pass such situation that is very important
3. When situation is not in favour you unable to make money despite strongly you follow your setup and system reason is we no need to fight with Mr Market , but we have to follow Mr market and respect it
4. You seen it, I not shared chart from last 15 to 20 days reason is same situation not in favour
5. Everyday trading is not necessarily
6. Trade only when market situation/Direction in favour along with setup in stocks also in favour
7. When you start following setup one thing need to understand is Control risk ( we only can control risk part )
8. Your risk should be as much as smaller and reward is much much bigger than your risk
9. Try to focus reward minimum 2R and above
10. When SL triggered be ready to cut small loss ( here many people did mistake as doing blindly average and carrying position )
11. There is nothing 100% don't try to find 100% accuracy , first focus on RISK part
12. Important thing is While trading how much minimum you loose and maximum you gain
13. Strictly follow rules , try to write down in diary also made trading journal and review after every 2 week what trade you do and what mistake you did try to improve it and avoid same mistake in future
14. Stay positive and be happy and trust on your self
15. Never compare with your self with others