Whenever I enter a position, I have a predetermined stop…
![“Whenever I enter a position, I have a predetermined stop. That is the only way I can sleep. I know where I'm getting out before I get in. The position size on a trade is determined by the stop, and the stop is determined on a technical basis... I never think about [stop vulnerability], because the…” quote by Bruce Kovner](https://sms4smile.com/q/img-quotes/06e/bruce-kovner-30819_bases_whenever-i-enter-a-position-i-have-a-pre_2840023.jpg)
“Whenever I enter a position, I have a predetermined stop. That is the only way I can sleep. I know where I'm getting out before I get in. The position size on a trade is determined by the stop, and the stop is determined on a technical basis... I never think about [stop vulnerability], because the point about a technical barrier - and I've studied the technical aspects of the market for a long time - is that the market shouldn't go there if you are right.”
About This Quote
This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.
A trader pre‑sets stop‑loss levels to manage risk, allowing sleep and confidence; technical analysis guides entry and exit.
In simple terms: Set stop‑loss to sleep easy.
Key Takeaway
Use predefined risk limits.
Themes
risk management
trading discipline
technical analysis
Mood
pragmatic
analytical
Type
financial
educational
When to use this quote
- stock market
- day trading
- portfolio management
Key Concepts
finance
psychology
Questions to Reflect On
- How do you choose stop distances?
- What if market gaps occur?
A Different Perspective
Stops can be breached by volatility.