How to handle stop loss on volatility market?

How do you know when a trend has started? Ended? This forum is for discussions about trend indicators and signals.
Post Reply
oem7110
Roundtable Knight
Roundtable Knight
Posts: 381
Joined: Wed Jul 12, 2006 9:33 pm

How to handle stop loss on volatility market?

Post by oem7110 » Tue Jun 02, 2015 11:12 am

Referring to following image, it is a very good example to show volatility market.
It is very difficult on how to set stop loss under this situation.
Does anyone have any suggestions on how to handle this situation better for setting stop loss levels?
Thanks in advance for any suggestions

Image

ptan54
Full Member
Full Member
Posts: 11
Joined: Sun Sep 01, 2013 8:50 am

Re: How to handle stop loss on volatility market?

Post by ptan54 » Mon Jun 22, 2015 8:38 am

You have Avg True Range at the bottom of the charge; in a volatile market the Avg True Range increases so your stop would be larger....a lot of TF systems use Avg True Range to set initial and trailing stops.

Post Reply