Here is a breakdown of the "Stop Loss" strategies for beginners and Binance trading users:
1. Behind Supply Creation
Explanation: A stop loss is set above the area where supply (selling pressure) originates.
Key Level: Place the stop loss slightly above the high of the supply zone to avoid being stopped out by minor retracements.
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2. Behind Demand Creation
Explanation: The stop loss is positioned below the area where demand (buying pressure) originates.
Key Level: Place the stop loss slightly below the low of the demand zone for protection against sudden drops.
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3. Behind Supply Continuation
Explanation: Stops are set above a newly formed low within a supply zone, ensuring alignment with the bearish trend.
Key Level: Place the stop loss above the high of the retracement candle to avoid false breakouts.
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4. Behind Bearish Gap Retest
Explanation: After a bearish gap fills, stops are set above the gap fill level.
Key Level: Position the stop loss just above the filled gap to protect against reversals.
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5. Behind Structure Retest
Explanation: Stop loss is set above a structural retest after a breakout.
Key Level: Use the high of the retest candle to determine the stop loss level.
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6. Behind Bullish Gap Retest
Explanation: After a bullish gap fills, stops are set below the gap fill area.
Key Level: Position the stop loss slightly below the filled gap for a secure setup.
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7. Behind Bullish Liquidity Run
Explanation: Stops are placed below the fake-out low where liquidity is taken out.
Key Level: Protect your position by setting the stop loss under the liquidity sweep area.
8. Bearish Liquidity Run
Explanation: Stops are placed above the fake-out high where liquidity is hunted.
Key Level: Set the stop loss above the liquidity zone to avoid false signals.
9. Behind Demand Continuation
Explanation: Stops are positioned below the demand zone after a false breakout.
Key Level: Place the stop loss beneath the recent low of the demand continuation area.
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By implementing these methods, new Binance traders can manage risk effectively, minimizing losses and increasing trade precision. Always adjust the stop loss based on market volatility and structure.
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