/biz/ - Business & Finance

>>22835013
i'm not talking about daytrading, but unless you're sure on an individual pick and it's too volatile to be setting a stop loss on, a loose trailing stop on an index ETF is smart.

if your -20% trailing stop triggers in the first place, it probably means shit hits the fan and broke through support so it'll likely go down much much more like the March dip, went down another ~20% more after dropping ~10%, and it would have dipped much more if government bux didn't step in.
You can get fucked trying to catch the falling knife but you'd still be better off than just holding through entirely even if we're considering the short-term taxes

this blog i googled after a couple minutes already did some simulations and pulled out some studies too. Pic related
>https://www.quant-investing.com/blogs/general/2015/02/16/truths-about-stop-losses-that-nobody-wants-to-believe