What does the closing line 130 mean? It is often mentioned in the stock market or futures market and refers to the stop loss level of a certain investment product. This means that if the price falls below 130, investors must close their positions and stop losing money.
The closing line of 130 is one of the important indicators that investors must consider when formulating risk management strategies. By setting stop loss levels, investors can avoid excessive losses and ensure the safety of their own funds. However, a too conservative stop loss line may also lead to premature stop loss and missed profit opportunities.
When setting stop loss levels, market trends and your own investment goals should be taken into consideration. If the market trend is strong and the goal is long-term investment, the closing line can be set higher to avoid interference caused by short-term fluctuations. On the contrary, if the market trend is unclear, or the investment goal requires quick profits and quick stop losses, then the closing line should be set lower to reduce losses.