Real Fx traders do not use stoploss

stop loss is very important in running a trading what we are doing, because it warned of a very high risk that should be on minimizing fine or target, in order to survive in forex trading. it would be good to do with learning as in the demo account to practice in running beginners in forex trading stages by improving trading skills

Totally unqualified answers around here.

Look at it as a business and you will have all your answers: your equity is your working capital, orders are your stock. Trading businesses aim for good deals (buy relatively cheap - sell relatively high; relative means to your own average) and are supposed to have positive margins at the end of the month, and hopefully a profit after taking out all cost. How much should the net profit be? 2%? 10%? 20%? Here it already starts, if you have your mindset right. Would you do a business, where you make 2% margin (assuming you don't withdraw funds) at the end of the month? I wouldn't. So, assuming you aim for 10% profit (i.e. you do withdraw funds) at the end of the reporting period, continuously, you add back the cost (i.e. your withdrawn funds) and end up at the target margin. If you don't achieve that, you shrink. How much are you willing to shrink, assuming you do believe in growing going forward? And that defines your global order closure management. Assuming you have reached your max negative float, you start liquidating your worst order (=foul stock), one by one. Assuming you have one directional orders (e.g. only Buy on a particular pair) you can always set a hard stop-loss for safety reasons, but it should be in line with your global (!) draw-down target - i.e. hundreds of pips away. If you mix Buy and Sell orders - from this stock/position management perspective it is totally irrelevant, if you call it hedging and if it is meaningful - you cannot set a hard stop loss.

I hope this gives you a slightly differentiated perspective.

One more thing:

The above relates to the question of methods, as well. Assuming your method is to set very narrow stop-losses and aim for long winners, you will still want to track your margin and profit-loss ratios at the end of the month in order to get the order sizes and minimum targets right. For myself I have come to the conclusion that I can get the big picture direction somewhat right, but I am very short-tempered/fickle in picking entries and exits. That's why I average-in in channels (against all smart math geeks here suggesting its fallacy) and manage my equity rather than individual orders or focusing on the perfect entry-exit combination.

Most traders acknowledge that the risks make it necessary to use a stop loss, hence It is important for traders with a long CFD position to place a stop loss sell order beneath the current market price to trigger automatically a sell direction in case the price drop to that level. An excellent stop loss should not be extremely tight so as to stop a position early or too far-flung so as to reveal the trade to extreme risk.

I personally will not recommend not putting a stop loss. Forex is a game of probability. There will be times where a pro will not get their trade according to their way. A stop loss should be place in ALL trades to prevent huge loss that can cripple your account.

Yes it is. There is nothing 100% in Fx market place. Anything can be happen at any times positive or negative. So Stop Loss obviously needed to protect balance. Devoid of SL you condition can be as like a ship in an ocean without rudder.

It’s a wrong message! Maybe there have few outstanding trader; but by and large most of the pro traders use the stop loss trading tool according to their strategies requirement.

I agree. I don't know where that odd rumour comes from, but it's wrong.

hi friends, I consider myself an intermediate level trader, as i am trading above one and half year and still am in breakeven level except my first few months where i lost a huge.... my strategy also doesn't considers stoploss but i use hedge my positions constantly and am still surviving with no stoploss except i don't take a massive lots for trade, market tests your patience and i failed in that so am not profitable am testing myself and market is testing me.
And from my experience i can tell you all that we can trade fx without stoploss but we have to accept the losses, and business costs which we have to pay everywhere.

In the end of the day, I think, the main thing that matters is whether you were able to profit. If you were able to it doesn't really matter how it happened, whether you used stop loss or not. Some people do and profit, other people don't and profit, that is their individual truth.

True. I am not using the stop loss

Develop the discipline
to click the close trade button
at any time.

You would be freed,
with the potential
to trade well with
big stop loss
or no stop loss.

Hi Guys,

Not sure where to start around here since I'm new. I have written a marginal system for you to use and view. Who knows, maybe even improve...well most probably improve. It works on all currencies and on any time frame.

Please feel free to comment/make suggestions or even change the code.

Thank you for your help.

Kind regards

Daubert

If you mean "real" like people in market making institutions. When you never run out of margin, you can martingale until your eyes bleed. Unfortunately, for those of us who have limits on money, an exit strategy (if not a S/L) is needed.

I don't think it is true that pro traders do not use stop loss. If you read the book called The Millionaire Traders, you will see that different traders have different strategy of risk management. They all bexame millionaire from zero. Some of them use stop loss. IT'S all about how you manage your risk. Some use stop loss, some do hedging and some have strategy that doesn't need stop loss.

I agree. One can hardly ask all profitable traders whether they use Stop Loss or not, it's just impossible to know.

Everyone should have a safety stop, and a manual one.

I agree on principle, but some people don't use them and are still successful. It's a matter of preference.

Agreed, but I just dont like 100 pip sudden spikes lol.

when your entry in right! use stop... so stop when it hits it tell you that is something is wrong!
and if your entry is just a guess! don't use stop... coz it doesn't matter then!!