'tight stops' help please, page-15

Ok,

Company
1) 20% Loss @ $1000 investment = $200 Loss
2) 20% Loss @ $1000 investment = $200 Loss
3) 20% Loss @ $1000 investment = $200 Loss
4) 20% Loss @ $1000 investment = $200 Loss
5) 20% Loss @ $1000 investment = $200 Loss

Ok here we Have a $1000 Loss on one bad day.

The market rebounds the next day and they come back to your purchase price.
Basically it means you lost $1000.
If you would have waited one day you would have lost nothing.

This is my opinion only, other may feel differently on this topic.

Regards,

UMC