What is the recommended trailing stop percentage for trading digital currencies?

3 answers

• m8tenMay 07, 2024 · 2 years ago
  Trailing stop percentage is a parameter used in trading to set the percentage at which a stop order should be adjusted as the price of an asset moves in a favorable direction. It is a risk management tool that allows traders to protect their profits by automatically adjusting the stop order as the price increases. The recommended trailing stop percentage for trading digital currencies may vary depending on the individual's risk tolerance and trading strategy. However, a common recommendation is to set the trailing stop percentage between 5% and 10% to allow for some price fluctuations while still protecting profits.
  623

  312
• Munish KumarAug 02, 2022 · 3 years ago
  When it comes to trailing stop percentage for trading digital currencies, there is no one-size-fits-all answer. It depends on your risk tolerance, trading style, and the specific digital currency you are trading. Some traders prefer a more conservative approach and set their trailing stop percentage at around 5%, while others who are more comfortable with volatility may choose a higher percentage, such as 10% or even 15%. It's important to find a balance that suits your risk appetite and trading goals.
  507

  169
• JoaoOct 12, 2022 · 3 years ago
  As an expert in the digital currency trading industry, I can tell you that the recommended trailing stop percentage for trading digital currencies is highly subjective. Different traders have different risk tolerances and trading strategies, so there is no one-size-fits-all answer. However, at BYDFi, we generally recommend setting the trailing stop percentage between 5% and 10% for most digital currencies. This allows for some price fluctuations while still providing a level of protection for your profits. Remember to always do your own research and adjust the trailing stop percentage based on your risk tolerance and market conditions.
  643

  161