all right I asked the Discord and we were like yo let's just do the freaking boot camp video while on Zoom too okay so today's video is going to be on stop losses and the reason why we have our current or our previous trade that we took today that got stopped out up um is because we're going to use this as our first example of um like just stop loss placement but first of all we're going to start off and just like move away from this for now and we're going to or give me one
second um and we are going to talk about just like where to where do where to put stop losses in general and then like kind of I don't know like where to put stop losses in general and then also overall like I'm spacing out sorry today we're doing a video on stop losses okay so to start off the most basic and the most like fundamental thing in terms of stop losses I rarely like do like kind of a elongated stop loss okay and the only times that I'll do that we'll talk about that later but
most of the time when people have a stop loss they'll see okay liquidity sweep breakup structure and then like order block entry and then boom they're in right let's say it's a short position they will typically almost always put their stop loss above the liquidity sweep me myself included okay I almost always put my stop loss above the liquidity sweep okay and I do this because if if our bias was correct if liquidity was actually taken out then price has no reason to come back above this high right because this is where right or order
block this is where orders were filled and the price point above this high and we'll talk about why we put why we put our stop loss slightly above the highs as well to cover for spread but if price ends up coming back Above This High then that means the liquidity sweep was not valid that means liquidity was not swept that means there was not enough volume or volatility that means there weren't enough orders to be filled to push price in our bias and in our Direction so our stop loss always has a purpose our stop
loss is essentially our invalidation area okay so if price ends up coming back up here then cool okay that means our trade is invalidated and that liquidity sweep whatever we were taking the trade based off of that area that price point that price range that Confluence that building block was not valid we were wrong okay move so that's standard okay that's like the most basic thing I almost always put my stop loss above the liquidity sweep Okay so oops boom that's as simple as it gets okay that's like you're just like super simple perfect [
__ ] like easiest way to do it stop loss above your liquidity sweep whether you're entering off of a fair value Gap or an order block your stop-loss should still be above the liquidity sweep it shouldn't be it should not be right above this high right let's say you enter off of like this and it should not be right above this High why because price could easily come back a little bit higher and then come back down okay you want price to be above the liquidity Suite because that's where price would be invalidated for us
cool cool okay moving forward what are some exceptions delete this some exceptions to this and I don't even really like these exceptions if price looks like this and this is our breakup structure and the liquidity sweep is so high up that it pretty much would give you a terrible risker reward then I try and find other confluences within here like okay let's say there's a fair value Gap here in order or like order block like right here I would put my stop like above the order block and I wouldn't put above put it above the
liquidity Suite does that make sense because we want our our ideal trade is a good risk reward right but the reason why I don't necessarily like doing that is because right the invalidation point is above the liquidity sweep so price could still technically move up and take you out of the trade and still go within our bias okay so that's the easiest thing to do just put it boom below or above the liquidity sweep now let's look at the trade that we took today and go over how price is still technically within our bias and
look at this right now like we would still be in profit um we would be in profit right now but that's nothing to cry about just means our bias was correct good job us um but anyways if we're seeing this right now and we see okay this is where our stop loss was what was what were our confluences go go look at the trade recap I don't want to go over it again but we entered off of this break of structure off of this candle closure okay we put our stop loss first of all every
single time at least put it like I would like to say like five like point five points 0.5 points below the actual price point or figure out what your spread is on your broker for the specific pair because if you put your stop loss directly on this price like literally on this exact price on your brokerage guess what when price comes down to like right here you will be stopped out of the trade why because the ask price is right here and the bid prices right here or I don't know what the difference like I
don't know which one's higher which one's lower ask your bid but you know what I mean bid or ask price right you are going to get stopped out by spread and you're going to be screaming and [ __ ] crying if price ends up coming back up and going in your direction so what do you have to do you have to account for spread because guess what even if price comes to a this exact price point your stop loss is going to be under here and you're going to be protected because it's only invalidated your
your trade is only invalidated once this price point gets broken below okay so what I always like to do I like to give it like a little bit of room so for us ours was like what was it it was four four below so it was like it was like right here as you can see we got soft out by this okay and that that was for you know some other reasons you know maybe we should have covered ourselves by putting price lower over here I put my stop loss underneath here because we had a
liquidity sweep on the five minute right here and then a break of structure only one minute to the upside so I was considering this my liquidity sweep so that's why I put our stop loss right here does that make sense okay what are some of our exceptions for you know maybe when we like don't have a liquidity sweep or maybe it's like a higher time frame trade such as this one okay look at this price and we're on Zoom right now with my Discord I know they're raging because we had a five minute break of
structure right now but hey that just proves our bias was correct Okay so I know y'all are raging I don't even have the Discord open but I know you guys are raging um some some exceptions right like for this example okay we had a liquidity sweep on the 15 minute break of structure to the upside on the 15 minute could we have done a long-term trade on the 15 minute sure but no one wants to have this all the way down here and have to like you know make this which would have been our final
take profit our first take profit for a way lower risk reward ratio okay so what can you do on that well you could scale into a relatively higher time frame okay and try and find you know maybe a a low like one scale lower that's underneath the liquidity sweep if you want to be extra safe and again you need to keep risk management in mind um you need to keep risk management in mind with this all of this is just purely based off of your own risk tolerance that's what I like to say whatever you
are comfortable risking because I use a set sets lot size and we'll cover that in this in this boot camp how you can figure out what your set lot size should be and then how you can find the scale of different lot sizes to use based on your confidence for today for the day so like for today for example we won't get too deep into this but today for example Iris half of my usual lot size usually on the S P my normal is like a hundred lots and I know you're going to say damn
that's [ __ ] crazy it's 10 units per it's 10 units per lot instead of 100 units per lot size which is what most most Brokers are so just it it really would be essentially 20 um 20 Lots on like a normal offshore brokerage hanko's just a little bit weird okay so my usual is 200 I risk 100 locks today because why we had high impact news and we also have a bank holiday tomorrow so odds are we were going to have relatively low um relatively low volatility kind of choppy marking conditions and we also
had high impact news we have high impact news throughout this entire week I'll probably de-risk myself this entire week okay that's something to keep in mind so it's like your stop loss is purely based off of your risk tolerance and then also understanding where is your invalidation point that's all it is your stop loss should never be like shouldn't shouldn't be based purely off of points or Pips it should be based off of where prices then invalidated where your bias is invalidated at that point okay so for me my bias was invalidated today because I
I saw we had a sweep of liquidity and a breakup structure to the upside my stop was underneath this liquidity Suite yes my overall daily bias was bullish right and that is getting fulfilled but for this specific execution for this specific trade I was considering this a liquidity sweep and a one minute break of structure does that make sense so this was my invalidation point it got invalidated but then price ended up moving higher make sense cool all right that's that stop loss is explained okay so that's going to cover it for today's video I
know it was relatively short but find your invalidation point understand your risk tolerance and you'll be good okay I think tomorrow's video will cover um set lot sizes um and kind of start talking about that [ __ ] uh and then we'll also talk about just like how to How we'll talk about different ways to calculate your lot size in different ways ways to calculate your risk we're now starting to get into like the smaller things um so this is this is getting fun um I look forward to seeing you seeing you boys tomorrow don't
[ __ ] trade tomorrow don't [ __ ] trade if you trade you're literally stupid it's a bank holiday don't trade okay don't trade please and don't trade some random foreign exchange pair okay the U.S bank holidays typically slow all the markets all right so Discord I know you're raging because we barely got [ __ ] Wicked out and this shit's probably going to hit if we're being real all of our take profits but it's okay it's something to learn from okay cool I'll catch you boys tomorrow in Discord I'm going to end the zoom
right after we end this all right peace out
