A stop loss strategy protects your capital by automatically exiting a trade when losses reach a certain point. It prevents small mistakes from becoming big regrets. Smart traders set stop losses based on market analysis, not emotion. Whether you use a fixed percentage or a trailing stop, the goal is the same: limit your downside. It’s an essential risk management tool in volatile markets. Don’t just hope for recovery—plan for protection. Every trade should have an entry, target, and stop loss. Stick to your rules. Let your wins run, but always control your losses.
