ikey
Apprentice
Joined: 09 Apr 2006
Posts: 3
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 Posted: 06/21/08 - 01:18 Post subject: |
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| Any investment carries with it a risk in part. If you are day trading, momentum strategy is certainly something should definitely employ. However, no strategy is worth without stop-loss order. It is practically your insurance in one of the riskiest ways of trading, as it effectively sets a maximum loss per day. Simply put, if you do not want to get into stop losses, you may as well search for another profession. Now, a mental stop loss is simply your decision to stop if you suspect that a loss might occur. Since the day trading is done over a computer, a physical stop loss means that you will post your stopping rather than simply decide to do it. |
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