Does putting Stoploss has any effect on behavior of any scrip?

I know this sounds bizzare but I heard somewhere that if you put a stoploss then most probably it will get hit because of algo traders or some other reason. Does this argument has any truth?

No it’s a lie.

The day I’ll Join any

1.Big Investment Bankers.
2.Domestic Institutional Investors.
3.Foreign Institutional Investors.
4.Any Big Brokerage Houses.

I’ll let you know guys about this theory.

One more thing I would Like to add here.
I am Trading with

2.SBICAP Securities Ltd (SSL)
3.Ventura Securities Ltd.

Here, SBI & Ventura Provide Stock recommendations for Intraday & Swing Trading & Long term Investment.

Let talk about Intraday.
Stock recommend provided by SBI are Dam Accurate Most of the Time.
Out of 10 Intraday call I can Say 6 Achieve the target and 1-2 Hit the Stop-loss and Remaining close in Before Target.

Now, Coming back to Stop-loss.
I Don’t know What method they use To calculate Stop-loss but the Price comes near Stop-loss and bounce back from their without triggering it.

Although The method I use to Put Stop-loss is wide and give full space to swing the Price without hitting my Stop-loss.

But The Brokerage Houses give even more Space to swing the Price between the target and Stop-loss.

None of the Brokerage Houses will want that their clients move to some other Brokerage Houses just because the Stock recommendations given by them hit the Stop-loss Loss most of the Time and clients not making money.

Full Brokerage Houses charges good amount to their clients. If clients will not make money for sure they will switch the Brokerage house.

Let me add one more thing
{ Note:- SBI & Ventura are not my own Account. Account holders are my Relatives }

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I wonder how do u manage to track hold of stock recommendations provided by SBI CAP & Ventura while trading on zerodha.

What was the need that u had to open multiple accounts when you keep saying that you are a student with very less margin money for trading.

Hmmm, now don’t tell us that those other trading accounts are in the name of your relatives/ friends and you are managing them. :smile:

this normally happens,when you put your stoploss at round figure as 100, 101 etc
this can be eaten,
if you are comfortable to sit in front of your system all time, put your stoploss in your mind, and keep a sell order open as stoploss price comes place the order. else for more volatile scrips or can’t sit on your system enter stoploss, some ticks below your stoploss like for 100 you can put @99.85

Yes, they are not my accounts.
Accounts are of my Relatives.

I will never open Trading Account with full Brokerage Houses and pay hefty charges.

Traditional Investor’s have trust issues with the Discount Brokerage Houses. That’s why they go With full service Broker.

They don’t do Intraday Trading They just buy the stock and sit tight for years.
They Trust on Brand Value of Full Brokerage Houses and their is a Mind set of safety of their funds.

Stocks move in accordance with price action during the trading day where the action is set up by the support, resistance and price movement of previous trading sessions.

If your stoploss falls within the range of the price action, then it is likely that it will trigger but placing a stoploss as such does not affect the behaviour of a scrip.

@vijender88, the question is not whether stoplosses are required or not. Also, do you have any proof as to how stoplosses get eaten if they are placed in round figures?

my friend,
you might be from any scientific field, this market does not work on proof, it takes conditions
let me clear you, you might have seen many stocks reverses making a low or high at round figures, these are mostly operator who sit at round figures high or low to get maximum run.

To be honest it is just demand and supply economics. When you place SL you are actually creating volume in that price which is against where you actually want the price to move. Keep SL in mind and watch the ticker. If you can’t do that then keep away from intraday.