🧵 How to trade with a Stop Loss🧵

(A THREAD)

This thread will help you identify and execute a proper Stop Loss in order to minimize losses, every trader’s biggest problem.
#ChartHashira
1. Before entering any trade, you must have a level to base risk off of. This will allow you to manage how much you are willing to risk as well as staying in the trade based on a support level. (Trading with the larger participant in the market) Without a SL you are just gambling
2. I look for strong signals of VPA/Candlestick patterns to look for areas where buyers or sellers are present. This will show up as a horizontal level where price has trouble getting through. This allows for a low risk entry. Indicators are great for following a trend.
3. I never stop out right on the support level, I look at the support as an area where I keep my stop below. This prevents you from being “wicked out” of trades only for price to rip up after. Mental or Hard stops, you must have one.
4. Should you find yourself in a winning trade, move your stop loss up to breakeven or trail it along the way so that you ensure to lock in profit as the trade goes in your favor.
5. I generally risk no more than 1% of my total port or 10-15% per position. This may vary if my plan is to scale in with feeler adds on the way down with a thesis reversal in mind.
6. You should always keep your risk based off of a support level, zone, indicator, or setup fail trigger. This prevents traders from experiencing a “Forced Realization” type of loss where the loss is so large that one must admit defeat. What was a small loss is now a blown acct.
7. Many traders take entry based on euphoria or how high/low this move can go instead of weighing the risk that is at hand. Every trade is based on probability, you must remember that no trade is certain and the possibility of loss is always present.
8. You could have a less than 50% win rate, but with great risk management you would still be very profitable. The key is to always control and keep losses small and letting your winners ride. I’ll have another thread soon on that topic.
9. The market gives endless opportunity, YOU are the one responsible for how much it takes. Why do traders cut their wins so quickly, but hold onto their losses until they’re forced to. Trading is all about longevity.
10. For the visual learners:
Second chart shows how a traders should have moved their stop loss up to prevent a winning trade from turning into a loss.
LINKS:
Daytrading Education-
Patreon.com/MapleStax
Patreon.com/MapleStax
LAST MONTH

Twitch Live Streams-
Twitch.tv/MapleStax

$QQQ $SPY $AAPL $MSFT $FB $AMD

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with MapleStax

MapleStax Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @MapleStax

12 Dec
🧵 How to Trade Market Open 🧵

(A THREAD)

This thread will detail how I play the open on LC Options, but can be applied to anything. This strategy will provide a clear risk to reward parameter that you need in order to give yourself and edge.
#ChartHashira 🍁
1. Each morning I will set alerts on VIX, SPY, and NQ at key resistance/support levels to give myself awareness throughout the day without taking my eyes off my execution screen. I then go to the ticker(s) I plan on trading that day.
2. I look for any patterns or formations on the micro and macro trends. I mark the Prev HOD/LOD, PM high/low, as well as the high and low right before close if they are significant. You should have 2 channels.
Read 9 tweets
11 Dec
🧵 How to grow a small account🧵

(A THREAD)

This thread will detail a simple method on how to grow your small account from a psychological standpoint. These are my self realizations.
#ChartHashira
1. If you are trying to grow a small portfolio, you must establish that focusing on “home run” trades develops unrealistic and unhealthy habits for newer traders. Small wins compound not only gains, but also skill.
2. Identify whether you are a swing or day trader. In either instance, I recommend a cash account for most traders. T+2 for equities, T+1 for Options. Don’t limit yourself by PDT restrictions. Set a goal (R/r) for each trade. You can make a living on only 10-20% wins.
Read 13 tweets
4 Dec
Setups and Formations you need to know!

🧵 A THREAD 🧵

These are some of my most profitable and consistent setups that I use on a daily basis. Learn them and profit!
#ChartHashira
1. Technical analysis is the embodiment of displaying the dialogue that price action tells between bears and bulls. Setups/formations are all based on probability, meaning the outcome may give you an edge when taking entry.
2. Channel:
Provides a range of price that displays 2 levels to either be broken or respected. My favorite setup.
Read 9 tweets
28 Nov
How I review charts to improve my trading! The key to my success.

🧵 A THREAD 🧵

I will simply explain my process when reviewing my trades/charts each day. This is how you will acclimate yourself for quick analyzation and execution during your trading session.
#ChartHashira
1. I review each of my trades each night to identify what I executed incorrectly and what I traded well that day. This has been my biggest influence in trading that led me to the consistency and success I have today. Screen time is green time. Study yourself.
2. I start off by looking at the chart from a top down approach by timeframes. I look at the Daily, Hourly, 10m, and 5m. I draw the trends and formations I see on the chart to show the bigger picture trend I may have missed during market hours. S/r, S/D, pivots, flags, etc.
Read 13 tweets
27 Nov
How to trade weekly 0DTE options!

🧵 A THREAD 🧵

This is my approach on trading very volatile and profitable options contracts with 0 days to expire.
1. 0DTE contracts are risky, but with increased risk comes greater reward. The truth of the matter is that you do not need to risk a large % of portfolio to make insane gains. Always watching first 3 OTM contracts closest to being ITM.
2. Each morning I analyze $QQQ (or whatever ticker you want to trade) and find the channel that price is consolidation in. I look for highs/lows prior to close or the highs/lows of ext. hours.
Read 13 tweets
21 Nov
How I trade Options at market open!

🧵 A THREAD 🧵

Simple and detailed explanation on how I approach my executions each morning.
1. Each morning I will chart out the channel that is presented in ext hours. This provides me clear levels to take Calls/Puts off of if price were to reject/base. I gather my contracts I am interested in and have them ready to execute for open.
2. Prior to open I will chart out any Supply and Demand zones where I feel confident participants in the market are present. This gives me more strength when selecting contracts and confirming my analysis of the current trend.
Read 15 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal

Or Donate anonymously using crypto!

Ethereum

0xfe58350B80634f60Fa6Dc149a72b4DFbc17D341E copy

Bitcoin

3ATGMxNzCUFzxpMCHL5sWSt4DVtS8UqXpi copy

Thank you for your support!

Follow Us on Twitter!

:(