First of all, speculation in futures should have a stable mentality, and it should not be disturbed by a temporary plunge or surge. The general ratio of stop loss to profit is about 1: 3. It is recommended to set a stop loss when placing an order, or after placing an order. However, if the market is big, it may lead to great losses, so technical analysis should be in place and evidence should be relied on. Set profit-taking and stop-loss techniques:
1. Break through the support level or resistance level stop loss: in the spot market or futures market, take profit and stop loss by using the support level or pressure level, that is, buy and open positions at the support level, sell after buying at the pressure level and stop loss below the support level, and vice versa. This is a commonly used stop-loss and profit-taking method in commodity trading, which is suitable for all trading strategies such as intraday trading, short-term trading, band trading, medium and long-term trading and so on.
2. Stop loss by the amount of funds: that is, before each entry transaction, clearly plan how many points to lose as a stop loss.
3. Stop loss with time: This method is mainly used for intra-day ultra-short trading mode.