The stop loss must be stopped in time, especially when the bear market is in strong shock and the downturn alternates. If the stop loss is not stopped, the loss will be greater.
So how to determine the spot stop loss position? There are 4 ways. How to determine the spot stop loss position?
Method 1: After entering the goods, it continues to fall. If you encounter a typical trend of continuing to shrink the volume or suddenly shrinking the volume and falling sharply (smashing the market), etc., which is close to the bottom, you can continue to observe. If it is a decline but you don’t know why, it is not within your expectation, or it is difficult to predict the next trend through its trend, you can stop the loss in time.
Method 2: The disk self-draws a line, and a support line or pressure line is drawn according to the K-line diagram. Basic points: low points connected to low points, high points connected to high points, or low points connected to high points, high points connected to low points. In short, two points determine a straight line, and finally in the superimposed triangle formed by the line, each docking point is the pressure level and support level (stop loss level) of the band, which requires a relatively accurate judgment of the high and low points.
Method 3: The maximum drop that your heart and funds can bear.
Method 4: If you encounter force majeure factors such as a sudden market waterfall, you should stop loss immediately, but this is often a test of your ability to correctly predict the general trend.