Risk= entry-stop
Try and find setups were risk is lowest possible.
4% b/o setup detailed here requires 6 to 8% risk and is best on small and mid cap stocks or situation where stock is just breaking out from long consolidation.
Anticipation setup discussed here often requires 2% or less stop. It is very good for continuation moves. Gives you more time to plan your trade. Can be used by working people as it allows you to enter with limit order without watching market.
$ b/o setup requires often less than 4% stop. It is best for stock priced 40 or higher. Can be used by working people as it allows you to enter with limit order without watching market.
Low threshold b/o requires less than 2 to 3% stop. Low threshold breakout setup is new setup I have developed in recent year to get in to stocks early. Can be used by working people as it allows you to enter with limit order without watching market.
Try and develop setups where your Entry-stop is very close.
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