$250 stop loss for EURUSD (1 lot) is too big or too small?

Azlan00IM

Private
Messages
33
I want to know, is $250 stop loss for EURUSD (1 lot) is too big or too small. I used this before (demo acc) and get mixed results. In the first day, it was no problem, my floating loss was at max $150 and I win around 7 trades. However, the next day, I lose 7 trades as well. For those who are experienced, what is the maximum stop loss and floating loss you usually get for your trade?
 

Bordux

Recruit
Messages
45
What you need to think about first of all is do you mind losing that money; if you won't be able to sleep during the night thinking about that $250 then yes, you are risking way too much. You have to identify the amount of money you are willing to lose per trade or even per 10 consecutive trades. If you prefer numbers then I suppose you can go with the saying "don't risk more than 2% of your trading account balance". When talking about lots, you also need to think about how much space are you willing to give for the price to move. If you are trading X amount of lot size and your stop loss is as you said $250 and it's just 5 pips behind your entry, you probably may want to trade smaller lot size so that you could place a stop loss of 15 pips instead and risking that same $250. Hope this helps.
 

downtrend

Sergeant
Messages
859
I want to know, is $250 stop loss for EURUSD (1 lot) is too big or too small. I used this before (demo acc) and get mixed results. In the first day, it was no problem, my floating loss was at max $150 and I win around 7 trades. However, the next day, I lose 7 trades as well. For those who are experienced, what is the maximum stop loss and floating loss you usually get for your trade?
$250 stop loss for EURUSD for 1 lot if its standard is equal to 25 pips. Now if you are a scalper then its ok to have a 25 pips stop loss. But if you are trading on H1 or higher then you need bigger stop loss.
 

EuroTrader

Sergeant Major
Messages
1,031
$250 stop loss for EURUSD for 1 lot if its standard is equal to 25 pips. Now if you are a scalper then its ok to have a 25 pips stop loss. But if you are trading on H1 or higher then you need bigger stop loss.
I would say for sure that when we are trading with 1 standard lots then 250$ is very less and that is bound to get us losses in our trading. We must remain careful when we are doing such types of trading and use more funds :)
 

ForexVerified

Private, 1st Class
Messages
582
Place your stops at logical levels, not because you have certain amount set to lose. If the logical level is way too much money for you then decrease your lot size until it fits both to your amount you are willing to lose and to the logical price.
 

EuroTrader

Sergeant Major
Messages
1,031
Place your stops at logical levels, not because you have certain amount set to lose. If the logical level is way too much money for you then decrease your lot size until it fits both to your amount you are willing to lose and to the logical price.
If we will make use of the Stop losses in our trading then a time will come when our net losses from trading will start to come down and we will be able to make good profits thru our trading in general :)
 

ForexVerified

Private, 1st Class
Messages
582
If we will make use of the Stop losses in our trading then a time will come when our net losses from trading will start to come down and we will be able to make good profits thru our trading in general :)
And you will save yourself a lot of losses.
 

EuroTrader

Sergeant Major
Messages
1,031
And you will save yourself a lot of losses.
Yes the main aim of any trader is to make sure that he is getting less losses in his trades and the only way of doing that will be if he is able to control his trading and make some progress in it :)
 

Froso@FXNET

FxNet.com Representative
Messages
395
$250 stop loss is much bigger for a capital where you had not much money in hands. With millions of capital it is appropriate. We invest in thousands mostly so if we set stop loss at hundreds it will be a big loss if it hit the limit .
 

nahiyar

Private, 1st Class
Messages
746
Yes you said right $250 is much amount to loose in just one trade. Even with high investment nobody will want this much loss. While trading I just plan to loose some dollars not a big amount . With stop loss too I will not manage it to loose my precious amount.
 
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