When setting stop-loss levels, how do I know what level to place them at?
When setting stop-loss levels, technical analysis may be quite helpful. In the case of a long position, for example, determining the stock's critical support levels might be necessary for assessing the stock's downside risk. To put it another way, it's possible that the stock will suffer further losses if a significant support level is broken. However, be on the lookout for false outbreaks prior to entering stop-loss levels into your trading platform, conduct thorough research utilizing technical analysis and other tools.