my biggest tip from my years of trading, page-42

Bassman
classic text book stuff thankyou,

Yes have a stop before you enter

just add a couple of points about setting realistic stops.

by using volatility factors and liquidity.
Naturally take a smaller position if buy depth is shallow.
Use the principals as defined by Richard Dale in his metastock volatility based stoploss incorporating ATRs as you already mentioned.have a look at Richards reasoning here ..http://www.tradernexus.com/advancedstop/advancedstop.html (I have attempted to demonstrate it on BHP recently)

And set the maximum 2% total trading capital risk on one stock.

Say 100K total capital means 10 stocks with 2k risked on any one trade,

Oh the theory......lol....easy peasy
Yes I blew up quite publicly in march using borrowed funds and T3, That was greed and poor money management, all in one basket..

great thread thanks.....hammer it home