A couple of my ports went on fire yesterday when ESCL was up 93%. Another 23% so far today. Too bad I didn’t have money in them.
My view on stop losses is to use common sence when executing them. If the stock TANKS the day of bad news then bail and forget what rank it is because it doesn’t matter at that point. An investers rule of thumb is to never try to catch a falling dagger. So take your loss and dump it.
Now if the stock is going down and trailing the market but maintains a high rank I think to get out of it you should have a performance sell rule.
If you check your stocks everyday or a couple times a day you can get away without using stop losses but if you’re not that kind of investor then I would agree with Denny that a loose stop loss with your broker can really save you when your head is turned the other way.