Trading for Beginners: Best Way to Use a Stop Loss

[@IvanBeatzBorn808]

Just wanted to say thank you for these videos. I’ve come a long way since finding your channel almost a year ago, and since then I’ve integrated your method along with many others into my own approach. You gave me the motivation to continue when I burned through multiple accounts, and now I’m doing well. If I didn’t come across your channel, especially the motivational video with Paul Tudor Jones, I don’t think I’d be where I am. Thank you from the bottom of my heart, and know that you made a difference in my life. Keep making these videos, you never know who they’ll help! To anyone beginning, listen to Nick and what he has to say, and supplement that with your own research, and sooner or later you’ll find your style. I love that Nick doesn’t promise miracles, and instead tears apart the idea of ‘talent’ and breaks down the fact that talent is earned, not born. Work hard and you’ll get there too! Stay safe out there!

[@Duomoinitiative]

You're welcome. Really happy to hear about your good progress, keep going! And thanks for the kind words.

[@seanfoley9494]

when is there a update in this series, was brilliant Cheers.

[@liufox4394]

Many thanks, I been tryin to find out about "where should i set my stop loss?" for a while now, and I think this has helped. Have you ever come across - Seyilliamorn Unflappable Smasher - (just google it ) ? It is a great exclusive product for discovering how to trade stocks lik a boss without the normal expense. Ive heard some awesome things about it and my co-worker got excellent results with it.

[@eliasweber7460]

I find stopping out to be one of the topics that isn't covered enough in detail so I'm glad you made this video. I worked on my stopping out and the other day had a relapse where I let my trade go too far against me when I should've cut losses sooner.

[@eliasweber7460]

@@Leshic2 That's good that you are happy to be stopped out. I myself had quite a good win streak going so I was disappointed when I hit a small red one and it had an effect on my stop. Usually when I'm in the green I just set my stop to break even now. Of course I'm trading small cap low float stocks but have the majority of my experience with large cap stocks which are more similar to the stops with futures/forex. Depending on the sector your trading the stop strategy is different. As far as your comment about many winning trades but you have a few massive losers, That happened to me recently as well also. Had a 7 day green streak and one red day wiped my profits out. If you're doing futures or forex I recommend just use a hard stop and you need algorithms to trade those efficiently

[@eliasweber7460]

Tape reading with Futures and forex is not that effective so you might as well just use a hard stop that way you wont have a big loss.

[@eliasweber7460]

@@Leshic2 I myself trade options as well with a day or 2 til expiration date. SPY options used to be my go to for a while as well. I think spy options are best when the market is volatile. You cant hold them for too long with such a short expiration because theta decay will eat you up when atr is low. If the SPY just sits in a sideways market you will lose money. High beta stocks are good for options I find. That and sometimes stocks that make large moves. You can go far OTM and get a big move if there is some kind of catalyst even if IV is high.

[@eliasweber7460]

I've been trading for 2 and a half years going from cash back to paper trading back-and-forth and this last time I've done better with cash

[@eliasweber7460]

@@Leshic2 I understand your problems and concerns overall. The fact that your strategy is focused on selling close to expiration spreads (I assume you're focusing on credit spreads). I wouldnt recommend offshore accounts for this type of trading. Offshore is really only good for trading shares I'd say. Either small cap or large cap. My opinion is the best way to avoid this problem is to use multiple accounts with different brokers each with about 500-1000$ each in them and rotatr. That is a good way to avoid the pdt rule with your specific style of trading. Either that or learn to trade directionally. Plenty of people trade directionally and are fine. Also when you sell credit spreads close to expiration you must be careful because gamma can really mess you up due to upcoming expiration and rapid theta decay. A sharp move in one direction could cause you to lose money far more rapidly due to the lack of time left until expiration.

[@СтаніславІванов-ю5ъ]

Good videos, thanks! But what about stop win? How to understand that it’s time to sell? Or I need to make it in same way like with stop loss?

[@marco2250]

Do you recommend a good book on technical analysis?

[@enibot]

Really appreciate the effort you put in your videos, thanks a lot it is really helpful!

[@Duomoinitiative]

Thank you! Glad the videos are helping

[@dominicsalimani2516]

Yoo you very smart on how to explain and structure your videos without coming across as "egotistical" or "Mr know it all", instead encourage us to have a different perspective on how to approach the market and learn to manage our trades and decisions we take... Overall I can definitely testify to approaching my trades in a static manner instead of "thinking out the box" and it it honestly makes much more sense applying the dynamic approach/method.... My opinion/2c is... Lets not try to predict price action but work with what has been provided to us (big or small), and in time reap the rewards....

[@Duomoinitiative]

Thanks for the positive feedback Dominic! ~ Nicholas

[@uiraex]

Please keep the series, i loved it

[@MrLatinDrums]

Loved the video. Thanks.

[@auxripper]

11:13 I've literally seen SO many of these kinds of setups just in the past week! Thanks for the video

[@Duomoinitiative]

You're welcome! - Nicholas

[@jsyncere]

Can you make a video on your trading setup. Also I’m interested on your style of office chair in the video

[@Duomoinitiative]

If you check out the free course in the description you'll start learning the foundations of how we trade. The chair is just a standard ergonomic office chair, not sure the brand! - Nicholas

[@joemahadeo7317]

Very informative

[@nondscript1751]

great video and graphics

[@WendyIrene]

thank you! This was helpful

[@omni6225]

Great stuff

[@nunoalves6962]

Very clear and helpful!

[@Duomoinitiative]

Thanks Nuno! - Nicholas

[@kuramakid]

I've read that comment, like only that one xD I'm at the loss aversion problem... So I'm waiting for disaster... Yes, I've used static stop loss and lost too much money... Yes, I've heard about Risk Reward from a colleague at work and it seemed legit... But for that to work I needed to wait for market to consolidate and have to... Well I don't understand the details yet... Hmm, I didn't understand anything in this video... It all seemed the same... To be fair, I started watching this from previous video... So I'll have to go and find the first one...

[@christiandavis7924]

Hey there quick question, we’re comments removed from the official course?

[@Duomoinitiative]

Comments were no longer being monitored in the course since the app/forum had replaced them a while ago. We switched them off to avoid anyone looking for support there and then not getting a reply. If you have a question best place is either the app or send us an email and we’ll be happy to help

[@donaldarthuryates9682]

Simplicity is the key to understanding, so thanks for this lesson about context in a simple way.

[@Duomoinitiative]

Thanks Donald, I'm glad it was helpful! - Nicholas

[@user-lt8gi1cw5w]

is there any video about stop loss hunter

[@Duomoinitiative]

At the moment we don't have one specifically about that, but it's discussed a bit in this video kzbin.info/www/bejne/bnO0aHqnYsxro7M - Nicholas

[@SerG-ez2po]

nice video

[@SSEnrich]

I just don't agree with this. The stop should match the tisk reward. That is what you do when you backtest, no? There are a few exceptions though. A double top on 4H will probably not require a 30 pip stop loss. You will know ypu are wrong at 20 pips or earlier. In a trend trade it feels to me quite impossoble to set the stop below swing low.

[@SlumberP]

the free course is no longer available :'(

[@Duomoinitiative]

No, but we have a new free training instead and you can get more lessons via email: trading.duomoinitiative.com/duomo-mailing-list/ ~ Nicholas

[@bangladesh6027]

I don't choose stop loss. Stop loss choose me.

[@dannywijnker4812]

Buy at the stoploss levels of others

[@straja993]

i'm far beyond this this level. it's not bad to review basics now and than. good video and zero dislikes btw.

[@Duomoinitiative]

Yes I agree, sometimes the more advanced we get with a skill the more we develop (and reinforce) bad habits with the basics without even realising. Revisiting the basics every now and then can be helpful. - Nicholas

[@sentralorigin]

tbh the title "stop loss hunter" sounds scary af

[@Duomoinitiative]

😂 true

[@Duomoinitiative]

🔹 Get FREE access to the Duomo Trader Development Program: duomotrading.com/FreeDuomoTraining 🔹 Add us on Instagram: instagram.com/duomoinitiative/ 🔹 Our second channel for financial news and analysis: kzbin.info

[@liufox4394]

Many thanks, I been tryin to find out about "where should i set my stop loss?" for a while now, and I think this has helped. Have you ever come across - Seyilliamorn Unflappable Smasher - (just google it ) ? It is a great exclusive product for discovering how to trade stocks lik a boss without the normal expense. Ive heard some awesome things about it and my co-worker got excellent results with it.

[@dannywijnker4812]

Never place a stoploss, buy shares of normal non hyped long lasting companies wich pay good dividends, en have trust in the long run

[@Bismilahii]

how come no one ever has capital for beginners lol

[@M.G.R...]

*Sir why investor make billions, but traders don't ?*

[@bangladesh6027]

Take a look at the most successful fund to date run by renaissance technologies, avg holding period 2 days.