{"id":3305,"date":"2013-10-25T04:45:16","date_gmt":"2013-10-25T08:45:16","guid":{"rendered":"http:\/\/www.morpheustrading.com\/blog\/?p=3305"},"modified":"2023-01-30T00:19:25","modified_gmt":"2023-01-30T05:19:25","slug":"set-it-and-forget-it","status":"publish","type":"post","link":"https:\/\/morpheustrading.com\/blog\/set-it-and-forget-it\/","title":{"rendered":"Why Winning Traders “Set It And Forget It” When Placing Stop Orders"},"content":{"rendered":"

\"SetHave you ever sold a stock as it was nearing your protective stop loss<\/a> price, thinking you would save a bit of money by getting out early, only to painfully watch the stock reverse in the right direction shortly thereafter?<\/p>\n

I was guilty of that all the time when I was a new trader back in the ’90s, but I eventually adopted a new trading rule that solved the problem.<\/p>\n

Rather than mentally struggling with whether or not to exit a stock ahead of its predetermined stop price, I put into place a clear and objective “set it and forget it” rule<\/strong> that was designed to:<\/p>\n

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  1. Eliminate guesswork and<\/em> mental stress by following a rule-based methodology for exiting trades<\/li>\n
  2. Increase long-term profitability by simply planning the trade, and trading the plan<\/strong><\/li>\n<\/ol>\n

    <\/a>Obviously, merely setting protective stops every time you enter a new trade is mandatory to one’s long-term success as a stock trader.
    \nHowever, if one fails to actually follow those exact stop prices, what’s the point of having them in the first place?<\/p>\n

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