Replies to post #41689 on lowtrade

[Gixene]

lowtrade,

IMO the problem you have is needing a 30% gain before putting on a trailing stop. There is something wrong with what you posted. If your acceptable loss is 4% below entry, the trailing stop should go on the day you buy, not at a 30% gain.

Understood. I have no reason for choosing an acceptable loss of 4% and I also have no reason for having an acceptable gain for 30%. This is something I set before making the first investment. The -4% trailing stop was to stop the investment from being sold during price fluctuations. Does setting a -4% trailing stop sound normal for an investor? Is there a general acceptable loss and acceptable gain ratio for investors? I know this is a touchy subject we are talking about right now. Everyone has a different amount of risk they can take on. However, I want to be sure I'm not unnecessary cutting potential profits and taking on unnecessary potential risks.

Your opinion?

Thanks, Gulley