Q: Could you comment on stop loss orders: when to use them, when not to use them, how much of a loss in percentage terms would you use (and would it depend on market capitalization or sector of the company), how long to have them in place, how frequently to review them and adjust them, using technical analysis to find support levels, etc. Some investors have told me they don’t use stop losses on stocks they plan to keep forever (e.g. Canadian bank stocks).
I would like to put some stop losses on my “riskier” stocks (SGY, WCP, CPG, TBE, DR, PPL) and I am wondering if a 10% to 15% stop loss from current levels is OK. I have had some of these stocks for a while and have gains up to 33%, and some are recent acquisitions and are break even.
Can you also comment on this article from the Toronto Star about never using stop loss orders to sell stock:
http://www.thestar.com/business/personal_finance/investing/2013/05/13/why_you_should_never_use_stoploss_orders_to_sell_stock.html
Perhaps you could publish an article in your research blog about using stop loss orders.
I would like to put some stop losses on my “riskier” stocks (SGY, WCP, CPG, TBE, DR, PPL) and I am wondering if a 10% to 15% stop loss from current levels is OK. I have had some of these stocks for a while and have gains up to 33%, and some are recent acquisitions and are break even.
Can you also comment on this article from the Toronto Star about never using stop loss orders to sell stock:
http://www.thestar.com/business/personal_finance/investing/2013/05/13/why_you_should_never_use_stoploss_orders_to_sell_stock.html
Perhaps you could publish an article in your research blog about using stop loss orders.
