Stop losses DO NOT LIMIT RISK!

Enough with the stop losses already.

[arnielee]

A wise man once said to me ‘stop loss? It should be called guarantee loss’

[jamesb]

Banks run stops for liquidity... that in itself explains why stop losses are your biggest enemy.

[salv]

I 100% agree that stop losses is what kills you in trading, I don't use stop losses i limit my risk by entering positions with small lot sizes i let the trades run, for months which eventually they will trade in your direction in profit.

[larrytk]

I only set stop losses when I'm already far in profit.

[aypibar]

Thanks for honesty! I agree 100% with you. Putting a stop loss is a piece of cake you deliver to market makers and they will know where exactly you are to taking you out

[jburr]

I don't use stop losses. I haven't had a trade end with a loss for months. The trick is trading with low risk and well within the margin and limit leverage.

[SnowWhite-drxh]

I love how in trading you can hear extremely successful traders saying the exact opposite - use a stop loss always, if you get stopped out on a wick, re-enter, taking a lot of small losses is fine because your winners should be much larger than your losses. Frankly I think it comes down to style and your trading plan.

[leem]

My head is always getting chopped when I say I don't used sl. Call me dumb but I just never got the point of it. Call me stubborn but I refuse to do anything I don't feel "convinced" about. Yes I've blown accounts, I assessed and figured what/ where I screwed up but I've also recovered from a lot of trades because I chose not to use the "holy grail" of risk management.
I'm so glad someone got out and said it.

[biikolo]

SL never worked for me like you said “death by thousand cuts” 100% true now I don’t use at all and I’m profitable it took me 5 years to understand this cut your loses it is all BS . Thank you sir 🙏

[truthseekerv]

I started making money once I stopped using stop losses!!!!

[Plumbermark]

I never use a stop....I trade weekly charts and watch it at close of each week, if I think it's going wrong I close it myself, I've often seen some great trades that have made me 10-20% in a month but during that time the markets spiked sometime 200-300 pips against me and if I had stops they would have been hit easy and I would have been out...Do not use stops ! do your risk management at the start of the trade for instance: Wait and wait and wait then when you see obvious set up go for it/limit your pip amount to suit your account/be patient/set your exit amount in case it spikes your way ( my trades are often 300-1000 pip exits) and that's it...Over a year you should return 50-200% and that's better than any bank or hedge fund gurus.

[jeffsaba]

Point on Michael !!!   This is what's happening to me right now.  My little loses are turning into bigger ones !

[lionelperez]

Mr Norman....this video was needed tremendously ... Thank You... i insert 6% of my entire account into my trading account and only risk 3% with no stop loss now....I Only trade the extremes of ATR levels ... Use an indicator to alert you when any of the top 28 pairs is 150% to 200% beyond its average and then trade the 5 or 1 hour time frame reversal with no stop. Bada Bing

[philliprobert]

i was trading forex for a while and made 18k on a 50k demo account in TWO weeks, with only 2-5 lot size depending on the setup. what i realized was i never used a S/L and just monitored my trades. once i found out about ftmo i was hit with a max daily loss, and suddenly my strategy didnt work anymore. i would get stopped out over and over and over and over again. i went thru countless demos trying to change my strategy to accommodate fore that max loss with no luck. so i started using smaller lots so i could not use a S/L and at the same time use my judgement to know when to exit a losing trade and can close my position. that way if the trade run on me i still wont hit my max loss

[erickkuhni]

I've experienced this too. The only key I've found is make sure that you've picked stocks that have a high probability of exceeding your purchase price in the near future. Everytime I've started applying stop-losses to try and "manage" my risk I started having a string of small losses. To get around this I have to set a stop-loss at levels where I might as well not had one at all.

[foldreturn]

Today I got stopped out of 11 of my 27 positions spread over three accounts. I knew the market was going to open way down like it did the day before and so I was taken out. You talk about being pissed off, that really hurt. I then canceled all of the remaining orders that had stop losses. I never want to experience that again. What took me over seven weeks in gains went bye bye in two days. Never again!!

[prabhunew]

Absolutely true. Stop loss are hit often. It is a nonsense. Probably, some people spread the rumour to everybody to put stop loss but they don't put stop loss when they trade. Stop loss is a nonsense. Why do you want to sell for a loss? When the price will turn around after few hours or few days.

[mergeform]

Investing one small trade at a time.
Small, short term trades based on a longer time frame.
Trend trading is better than pattern % moves.

[jburr]

Over 90% traders on forex lose money. I bet over 90% of traders on forex use stop losses.

I had an epiphany with stop losses. They are the only thing that actually draw down an account balance. We lose nothing when the trades are still open.

[dumbcat]

if you ever sold to cut your losses you have used a STOP LOSS. maybe the problem is not stop losses, but the way people use them