Engage in foreign exchange transactions must be recognized in the middle of things can go wrong is inevitable in order to promptly surrender when an error occurs, stop out to avoid that is a small mistake into big mistake, get bogged down with feet of clay. In fact, the role of stop loss is an error protection chao who appeared on the decision, the only way to reduce the loss, we often say that an accident can be fatal but if careful use of stop-stay out of trouble, then you can save the day.
For instance crash 87 years so many people go bankrupt if the trend was carefully analyzed, placed before the stop plate potential reversal automatic stop to leave the city, you can ride out an unprecedented catastrophe. So the trick is to place stop-how?
Stop plate must be placed in a reversal of an affordable place to confirm the city, just enough to make a real difference. Ordinary speculators, the use of stop loss, a reversal of most of the problems usually have three categories.
First, since that undefeated generals, disdain put the stop plate.
Second, the heart stops in the hands of non-stop plate.
Third, with a random amount as the stop plate.
For the first class of speculators market will sooner or later punish them, need not be discussed, of course, must not follow suit.
The second category hearts stop plate, the cause that fear unprovoked stop to leave to leave before deciding whether it should sell at a loss, Tam human weaknesses are often unwilling to admit defeat, and interim hesitant, so there is no consequence to stop the disc in advance furnishings the drop is usually lower stop plate mortar big mistake, until intolerable when it is forced to open.
As for the third category, with a certain amount as a random stop plate, it is asking for trouble when, for example a short sell gold monarch willing to accept a $ 1,000 loss and want to do three contracts, then set each dollar contract 3:05 stop plate, the most common scenario, the potential market is only continued to fall in after-hours stop hitting Mr. A gold, but a king would have been the right investment direction, because the wrong policy on the endless dead loss of departure, the correct approach, based on chart analysis as a basis for placing stop loss will stop plate placed stop plate placed on the market is bound to be reversed where this has two advantages first broke into Stop disc represents the potential reversal of the stop to leave the city is not the right investment approach broke into stop-second, showing the master still as expected development, Handicap holding hands, take a ride can continue to enjoy the win win money to make fun of.
As for how to choose the appropriate price would depend on the display stop-analysis system and set their own use, such as wave theory, morphological analysis, average, or a computer analysis system, will have different methods of calculation. All in all, we believe there is a place worth Observe the following points.
First, we must put a stop plate fixed before the market, then you can feel at ease to inspect the city's development potential.
Second, after the swing set stop plate, do not arbitrarily cancel, or in the case of failure of the stop plate back.
Third, we should pay attention to the use of [public enterprises to Mo] principle if most people are away from the stop plate display some important price to avoid a clean sweep.
Fourth, when the market in the right direction, you can stop price scheduled stop disc, follow the development trend of the city gradually adjusted to ensure that the vested interests at the same time try to earn more profits, this time, by adjusting the stop disk can be called up to make the disc, such as sell gold after gold prices, you can only make the disk gradually reduce as much as possible to earn profits and ensure remember.