How I Calculate Stop Loss :

This is the ace question ever asked to me  .
This is the Oxygen of your trading career.

Those who ever thought on this , have a long way to go.

My views are personalized based on my individual style of trading :
Please take the note as inspirational , blindly following the suit can be hazardous if it does not suites your personal style of trading . No wonder , you can be having a better style than me , but here goes mine...

First SL depends on the TIMEFRAME I am trading .

Lets take it for INTRADAY.
If I am trading in the morning and willing to clean it off before the close ,

My intraday trades are based on 2/5/30 minute charts and MACD.
My entry and exit points are determined by 2 min chart.
2 min MACD
2 min RSI
Rest 5/30 min chart are used to to assure the direction of the trade.

Ideally a trade based in  MACD has to have a SL based on MACD itself. But I find it tough ,it becomes difficult for me to sync the price with MACD moves. Sometimes degree of movement is too large before any  decisive MACD move. This wipes of capital as it demands SL to be to wide.

I aim at CandleSticks of 2 min.
My intraday trade SL are based on candlesticks formations. A engulf , a doji , neckline ,head of Hns are usually my SL.
Moreover MACD cross in 2 min where I brutally press the SELL button. It has to be referenced from 5 min and 30 min charts as well. Its a not so easy job.

But above all , SL placement should have the highest priority according to the risk appetite .
Sometimes , I place logical finance calculative SL's.
If I am aiming at 100 percent appreciation trade , 40 percent is my SL. It can be trailed backwards or forward as the candlestick and MACD print in 2 min charts.

If aiming at 4 cents of profit , its a literate way to put SL @ 2 cents. You cannot place SL at 8 cents when eyeing for 4 cents of profits. MACD based SL often give this unwanted picture , hence I mostly keep my SL based on 2 min candlesticks.
Else blindly financially calculated logical SL.

Medium Term Trades SL identification :

TRENDLINE
CHANNEL
Daily CandleStick
MACD
And a logical financially calculated SL always hits the bulls eye.



A trader who does not spends 70 percent of his time adjusting the SL of a already traded position , he or she is likely to fail in near time.

That is the sole reason , I cant roam around market hours . I am busy tick by tick in 2 min charts , My SL move a lot and lot during a trade.

SS

Trade Plan for 7th :

I am indecisive. I dunno where Nifty is heading. We are in  middle of channel .
Momentum ,Charts favours BULLS all the way , but wait stop and think before trading.
Markets move in the most unexpected direction. All the time.
Ain't they ?
Its false they move to the least resistance path , they move to the most unexpected path .
Everytime.

I will not be trading Nifty.
Even I do so , it will be a quick in quick out kind of stuffs. Falls are sluggish , pulls are quick.
Too tough.

Meanwhile sharpening my knife for some Stock Specific Action today.



SS