Good system but i don't know where to place stop loss

I have been testing out fib retracements and trading using divergence and have been hitting about 50% wins/loss which i think could be good with a 2.1 rr or better. The one thing i'm stuck on though is where to place stop and target to achieve this? In this example trade below where would you place your stop? i always fear that the divergence may kick back and stop me out as there is no concrete signal as such with this system, just divergence.

...then its not a very good system is it? im just being real yo...

I tend to agree with Pemully.

If you have a system that tells you to take a trade but doesn't tell you where to exit or where to take profit then it's not so good.

Will you drive a car that moves...but can't brake or accelerate ?

Rules #1 is to protect your equity so the most important thing for any systems (to me) is the stop.

Only you know where to set stops, either based on what you can afford to lose or at a specific area....then apply the 1:2 ratio.

Well, there are tons of way so pick the best for you!

It's not good or bad. It doesn't even qualify for being a system at this point. Merely a trading idea.

@ OP, the stop should be placed for a technical reason. So you just need to answer the right question: What is the point at which the divergence I'm using to enter the trade gets invalidated?

For all time periods Try a 3 length ATR

If your day trading consider the average range and the time of the day prior to entry this will give you a better outcome.

I would suggest some work on a target might be just as valuable to the success.