Tip #7   Always place stop loss orders

Move your stops only in the direction of your position, that is, to lock in profits as the forex market moves in your favor. It's not enough to have a mental stop because market prices can fluctuate quickly and in all the frenzy you won’t be able to close your trade in time to lock even a modest profit. Also, if you decide not to use a stop loss order, ask yourself “What would happen if my computer or my trading platform blocks out, or my internet connection collapses?” Stop loss orders help you have a life, too. Objectivity in forex trading comes from having a healthy, balanced life, so stop loss orders help you by allowing you not to be tied to your computer screen watching the market all the time.

"I'm always thinking about losing money as opposed to making money. Don't focus on making money, focus on protecting what you have" - Paul Tudor Jones, a famous hedgefunder worth billions