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Stop Placing Your Stop Loss at Round Numbers (Here Is Where It Actually Belongs)

Stop placing your stop loss at round numbers, and here is exactly where it actually belongs.

Marcus bought a stock at $52.40. Clean base. Volume confirmed the breakout. Strong Clear Framework score. He set his stop at $50 flat. Three days later the stock touched $49.80. He was out. The stock closed that same day at $51. The week after it was at $61.

He was stopped out by twenty cents. The stock did exactly what he expected. He just was not in it.

In this episode:

- Why round numbers are the most predictable stop levels in the market

- What is actually happening when your stop gets hit and the stock bounces immediately

- Where your stop loss actually belongs on a breakout trade

- Three rules for stop placement that keep you in the trade when you are right

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