Author Topic: Stop Loss on your position (Read 1860 times)

da_busynessman · « **Reply #15 on:** Jul 07, 2010, 04:59 PM »

Half-Life just like in Medicines, Physics, Science, Mathematics, and Mean-Reversion Trading.

I know that this strategy is diminishing in returns as more and more traders and institutional Hedge funds are applying it and that there are many factors affecting the returns but if you test, tweak and combine other strategies, you may find that sometimes this strategy flies under the radar of these institutional firms...

http://matlaber.blogspot.com/2010/06/ixn-ishares-s-global-technology-etf-and.html

http://epchan.blogspot.com/2007/01/what-is-your-stop-loss-strategy.html

freefront · « **Reply #16 on:** Jul 07, 2010, 06:51 PM »

^Oh God! That looks like post post grad lessons to me! I made a hasty retreat, this time.

da_busynessman · « **Reply #17 on:** Jul 07, 2010, 08:35 PM »

Exactly, free lessons if you're willing to learn it and it is the reason why I made a profit when a lot of LONG positions are losing money http://i47.tinypic.com/2eph79u.jpg I think I gave this as an example Long Aviva plc and Short Legal & General last week (entry and exit at the same time)

rayvic · « **Reply #18 on:** Jul 08, 2010, 07:08 AM »

You can search the internet about stop loss, and there are several of them, the formula and calculation are there, if you have to do it manually, then you have to recalculate it every time. I suggest, you buy Metastock version 11 and get Reuters data feed for Asian market, data feed for other markets are available for a fee. As for stop loss. Metastock has several stop loss included on the package. I use chandelier & Intellistop and base on volatility, on the chandelier, you can adjust the time perdiod and the ATR factor. So you are serious about trading, buy this charting software and feed.

eaganrubio · « **Reply #19 on:** Jul 30, 2010, 04:37 PM »

Quote from: da_busynessman on Jul 01, 2010, 05:06 PM

I don't apply stop loss, I use half-life which I've mentioned in my blog. Everytime I open a position I make sure that I hedge it with something as the market is not efficient.

how do you hedge stock here in the Philippines??

da_busynessman · « **Reply #20 on:** Jul 31, 2010, 05:25 AM »

Call your broker and ask them if you can borrow stocks to short-sell. Short selling is a lot tighter in the Philippines compare to LSE or NYSE, I have not seen an online platform that offers shorting of PSE stocks. Maybe someone here knows?

omrishabbat · « **Reply #21 on:** Aug 03, 2010, 05:36 PM »

No more than 10%!

dyonisii · « **Reply #22 on:** Oct 08, 2010, 12:11 AM »

my stop loss (and trailing stop) is always the lowest price of three previous trading days. this value now becomes the running lowest price.

the running lowest price is set (and reset) when the highest price today exceeds the highest price of three previous trading days (which i call the running highest price).

should the prices today stay within the those values (the running highest price and the running lowest price) the running highest price and the running lowest price stays the same.

so my stop loss (and trailing stop) changes depending on the current price, the running lowest and the running highest prices.