Wednesday, May 27, 2009

BGZ Stop Loss Placement

Place a breakeven stop loss on the BGZ trade entered this morning. The market has turned down and given enough confirmation of a new short-term downtrend to reduce the risk to nothing at this point.

For those of you who are familiar with "stop limit" orders, I would suggest using this and setting the stop and the limit portion of the order both at breakeven. This may help avoid getting out at worse than breakeven if the market were to gap up tomorrow putting the BGZ trade at a loss on the open.


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