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Asked a question 5 months ago

Every time I enter a trade, my stop loss gets hit, and then the price moves toward my target. Why?

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This happens to me too ūü•≤

As a beginner, I believe every trader has gone through this phase!

Placing the right stoploss has always been a task. Remember to maintain a trading journal. I am sure it will help you in the future because you will have trades making profits and losses. Just dig into the losing trades and analyze the mistakes you have made. Note that you will have to work on this yourself. Check where you went wrong and where you went right. You will get to a conclusion yourself!

If you are making loss regularly, try changing you trading style or strategy. 

This happened to me too. I always get scared and edit my stop loss and then end up making huge loss 

It might sound harsh, but please bear with me.

You have to ask yourself some questions?

  1. What are you learning from your losing trades?
  2. Are you making any changes based on your learnings?
  3. Do you have a defined trade setup or do you enter randomly when you see a pattern or some trigger?
  4. Do you maintain a trade journal?

After all, it's all about human psychology. The fact that you're stop loss is getting hit and then achieving your targets is self explanatory that you are a victim of SL hunting. Redefine your trade plan and try to enter where people's stop loss are getting hit. It might give you an edge.


SL is your Saviour from Big Loss. Review your price action strategy and basis of keeping SL, if it is going wrong every time. 

Or adjust your position size to keep SL at a distance, if you feel it is very close.  


Hitting SL is good actually. But if it is getting hit regularly, that means your strategy is not on point or your stop loss is not on point. Try and modify your stop loss and see if the SL get's hit then try to decode it. 

Try to change your strategy with new stop loss methods

First book your stop loss carefully.