I thought I'd come in and add my 2 cents to this surprisingly long thread. As may or may not already been stated, it is my belief that the necessity of stop losses also largely depends on a few factors. Those factors are the time frame and leverage. If you are an intraday trader using higher leverage, you would be a fool not to use stop losses. However, if you are a longer term trend trader who uses very wide stop levels and very unlevered positions, then it is not that risky to use a stop loss as the price per pip is very small and it takes very large movements for profit or loss.