Profit stopped out

We just got stopped out of our free trade on our ALSI position for 5 points profit at 25,365

After the market broke to the down side we moved our stop from 24,460 down to entry plus costs.

Why do we talk about a free trade so much?
* Well, when one takes a trading position (we like to trade with the trend) and the market moves in you favour, we like to use the "markets money" as our safety cushion. We will initially place a small amount of our own funds at risk but as soon as our trade develops into a profitable trade, we then move our stop loss to just above what we paid for the stock plus our costs. We put the order into our autotrader as to take the human element out of pulling the trigger and then sit and watch how the market and our trade develops.

When we catch a trend, it is usually very rewarding, The downside of our strategy and trading system is that one often get stopped out of your trades for small losses, so the losses does add up over time but by catching the big trend all those small losses are made up and then some more....

It is also important to take all your buy and sell signals from you trading system. The simple reason is if you allow yourself to select certain trades you are guaranteed to miss the break out and trend when it happens.