Use pivot points as a guide for setting stoploss orders from "summary" of Secrets of a Pivot Boss by Franklin O. Ochoa
When it comes to managing risk in trading, one of the most valuable tools at your disposal are pivot points. These key levels can be used not only to determine potential entry and exit points, but also to help you set appropriate stoploss orders to protect your capital. Pivot points are calculated based on the previous day's trading range, and act as markers for potential support and resistance levels. By using these points as a guide, you can place stoploss orders at strategic locations that align with the market's natural ebb and flow. For example, if you are going long on a trade and the price breaks below a key pivot point, this could be a signal to exit the trade and cut your losses. By set...
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