Not putting SL will eventually put you into the point of no return. SL should always be inplemented about ten pips behind a major support/resistance depend on if you are long or short. Even when you are at your computer, what if an unforeseen catastrophic event occur, power/local isp goes out. You might get lucky many times, but without a SL, it would only take one major disaster to wipe your account out for all your hard trading years.

Right On!!!

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Yes I agree there should be a stop of some description in place.
I'm also aware that the price can go 10 pips toward your stop and mysteriously you get stopped out. It's happened to me numerous time.

That's why I leave the CGSL where it is, about 100 pips from the price so no pig is sniffing out my truffle !

In case of a catastrophe I feel it wishful thinking that your stop would be honoured unless it is a guaranteed stop, which we don't have in the U.K with spread-betting firms.

But yes, for the guy on the street, 10 pips beyond the last reversal point on Majors is o.k. 30 on Gold and 50 on Crude.

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I agree with you FXPimp. I never use a stop that can be used against me
Stop-Huntiing. I've lost too much that way and they'll get you everytime....
Great stuff FXPimp, keep it up......

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I think the catastrophe he's referring to is not another WTC or WWIII but rather the frequent power outages some people get, myself included, and unreliable ISP's. Not something I had to worry about too much when I lived back home in the UK or when I was in the US but living in Asia now it's a regular event and something that any trading strategy I use has to have factored in.

Lux

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For more consevative trders - I think a stop above the 3 point (swing high) of the 123 is a good point although also an obvious target for a stop hunt but seems to give a great R:R ratio with this method

Just an idea!

Exactly Lux, although anything could happen such as WWIII hehe, you just never know. Oh yeah don't forget 2012 is just around the corner. Supposed to be doomsday for the world or maybe just for those w/o SL , according to the Ancient Mayans.

I used to get stop hunt/unexplainable stopped out and got cheated on when I was using bucket shops with mt4, but things seems to be working smoothly since I've been using ECN. I use mt4 for charts only now. The only thing I can't do now is hedge my positions through ECN. However, I still net about 200-800+ pips/week without hedging so it's good. Omg... by the way I am a she.

Hello all my friends from far lands and the MR FX PIMP himself. Man buddy, we missed some big moves yesterday (or at least I did)! I'm going to be watching stuff tonight like white on rice on a paper plate with a glass of milk in a snow storm. Thanks for all your help and support. Look forward to chatting with all you boys and girls this evening. Peace all

Big ups to big pips

Vampy

My crude chart has paused but all the others are ticking away fine

Good morning everyone. I hope you are all very well.

I'd just like to say a vey warm welcome to the new contributors to the thread. Tony H, Lux, Snowman, MoreMore, Remmy, Bloom, Adder, Bennihana, Penrynian. Big thanks for you guys for helping me make this happen.
It's good to see a few different opinions on stop losses floating about, which is nice.
I will try to post some charts later with suggestions and that will hopefully help, but for now, as cindy says, behind the 3 of the 1-2-3 is good.
Refer to the arrown on the entries post #70 from yesterday.

On to this morning.
It looks like the Dollar is meaning business now doesn't it.
Crude bouncing off the 4hr 20 ema as suggested it may yesterday after a little 150 pips run, then subsequently dropping 600 pips.
Gold bouncing off the suggested target area of $976 and then collapsing collapsing 300 pips after a noce little 100 pip play in the morning.

Where does that leave us this morning?
Well, one naturally assumes a slight recover would be warranted, which gives us opportunity to play against the trend.
This is always dangerous as you never know when the trend is going to continue and the longer term 60m charts on Gold and Crude both look pretty grim.
Crude has fallen 2000 pips now in about a week. $120 would sit it back at it's weekly 20ema, some 500 pips lower.
It is oversold in the short term. 84 CCI on the 60m chart currently at -250.
Gold too. In the immediate term it does need to retrace, but I will be looking for short positions when the time is right.
Sadly my crude chart is not working for some reason but I'm having to be a little vague.
With Gold having found some support of the daily 20, it'd be no surprise to se a small recovery this London/European session.

So on the currencies we could be looking for retracement plays.
Euro has found support on the Daily 20ema and Swissie had round resistance on the daily 50sma.
Yen has broken the 107 strangle-hold, whils Sterling is in the halfway house, boxed-in between the 4hr 50sma and the daily 20.

Always remember in these situations, you never want to be going long/short when your 84cci from your 60m chart/336 from your 15m chart (same thing) are hugely overbought or oversold.
Yes I do think IF Crude and Gold continue down that the majors will continue in their current direction but I don't think it will happen this morning.

Onto the 5m charts we can already see the opposing directions setting in, but how long will it last. Well I am not sure about that the YEN & CHF might fall to their pivots and Euro & Sterling may rally to their pivots but it doesn't excite me at the moment.
I suppose the best looking potential set-up at the moment is the 60m GBPUSD for a short.
The 5m isn't set yet. We'd need to see a bounce off the pivot, it cleacing the m.a's below, then we can look for a 1-2-3 to the south side.
The MPC minutes are out later but I don't think anyone is expecting a decision other than to keep rates on hold for the moment.

Have a good session. I'll be back at 11 ish.

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Remember, you only need 25 pips a day from this simple strategy to make a Serious income