#StopLossStrategies Strategy: Dynamic Stop Loss Based on Volatility (ATR Stop)

How it works:

1. You use the ATR (Average True Range), which measures the actual volatility of the asset.

2. You place your stop loss at a distance of 1.5 to 2 times the ATR from your entry point.

3. The stop moves dynamically if the price moves in your favor, always maintaining that distance.

Example:

You enter ETH at $3,000.

The ATR (14 days) is $80.

So you set the stop loss at: $3,000 - (1.5 * 80) = $2,880.

If ETH rises to $3,200, you move the stop to $3,200 - (1.5 * 80) = $3,080.

Advantages:

It adapts to the market: if there is more volatility, you give it space; if it decreases, it adjusts.

Protects profits without getting you out due to market noise.

Ideal for swing traders or those who cannot be glued to the screen.

P.S.: this is just an example, it is not something like a signal or anything like that, understand?