In today forex faq, we have a question from one of my readers asking me whether he can trade without using stop loss or not. In fact, this is one question that I believe a lot of you guys are interested to know as most of you are sick of the price hitting your stop loss in trading and then move in the direction of your trade after you get stopped out.
Below is the question
1) Can I trade without stop loss?
2) If I want to trade without stop loss what I need to do?
3) How much capital I need to do that?
This is another question from another readers
I’m into scalping; is it advisable to always use a Stop Loss position while scalping?
If you have been following my blog, you should have heard me emphasizing on the importance of placing stop loss in your trading but for the question 1 on whether anyone can trade without placing stop loss or not, the answer is a YES and a NO.
1) For forex trading, I must say that it is a MUST to place your stop loss in any trade that you have placed. I bet the reason why you are asking this question is because you are sick of the price hitting your stop loss in trading.
Actually, this has nothing to do with the stop loss at all. The reason why you get stopped out so often is because you do not have a reliable fx strategy on hand. If you are trading with a lousy strategy, you will find that you will incur more losses when you do not place any stop loss in your trade.
The solution to your problem is not about the stop loss, it is for you to either formulate a reliable strategy for yourself or learn a reliable strategy from anyone you trust. The only way for a trader to be profitable is to have a reliable strategy and there is no alternative way to achieve that.
2) If you do not wish to trade with stop loss, there is still a way for you to profit from the currency market. For me, I have been scalping the EURUSD profitably using binary option since 2012. With this method of trading, I do not need to place any stop loss to the trade and each trade lasts only 2 to 5 minutes.
After years of trading, I find that binary option is the best way for a trader to scalp the currency market as you do not have to place any stop loss to the trade and you will make a profit at the end of 2 or 5 minutes even when the price is only 0.1 pip in your favor.
I have heard people telling me how risky it is to trade binary option and a lot of people finds it very hard to profit from it. But from my own experience, I must say that binary option is something that is not risky at all.
The amount of money you have entered in the trade is the max you can lose in the trade. If you trade $50 in the trade, the max lose is $50 and nothing more.
As for people saying how hard it is to make money from it, I must say that these people are mostly guessing their trade and do not have a reliable strategy on hand. I have been making profits every single month from binary option since 2012 and if you have been following me, you know that I have a binary option blog where I published my monthly income report as well as the performance of my KB5 strategy since Jan 2015.
Like my forex course, if any student find a fake winning trade, I will refund back 120% of the course fee without question asked.
Recently I have posted a daily trade on the blog to show my student which are the trades that I have taken so that they can see. Similarly, if they find a fake winning trade, I will refund back 120% of the course fee.
You can read my binary blog at https://www.binaryoptiontraining.org
3) For binary option trading, you just need to start with $250.
At the end of this post, I must again emphasize that it is a MUST to place stop loss in forex trading so that your account will not be wiped out when there is a major news release which might trigger the market to move against your trade.
Do feel free to email me at [email protected] if you have any question regarding trading and I am more than happy to assist you.