Stop Loss and it's importance, how I almost lost most of my profit:
There is people that says that stop loss is a "burden" or it's not good, since I started trading I've been using it and I can say that in some cases it hasn't been the best option, but in other hand, it has prevented me from losing money, and I want to give you an example of what happened to me today.
Context:
I saw that $TURBO hit a Support area and I opened a Long position with $50 leverage x20 (It says 75 But It was 20), most of the times I trade with $10-$25 dollars using leverage x20, meaning I trade with $200-$500, But today I decided to make a big trade since I've been getting good profits as you saw in my previous post.
The Problem:
I thought that I had put my stop loss but I didn't, and then I turn off my Phone thinking that I had a stop loss and I kept doing other stuff and when I checked my trade I found that -160 you see in the picture.
Solution:
I tried to stay calm and think what to do, so I was -160, and I checked there was a lower low in 0.0096763 and I looked at the chart and I analyze the downtrend and I draw a line, and I saw the candle above the trend line so there was the chance for a reversal so I set a stoploss 10 dollars below that and I waited for the reversal, and as soon as the price went up I close my position, I ended up losing just 11 dollars compared to 160.
Conclusion:
Some people in construction say "measure twice, cut once", and I can say that from now on I'll always double check if my sl is set and good to go, and always try to stay calm during this situations and analyze your options very carefully.
Big losses can be prevented !