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Strategies & Market Trends : Stock Attack II - A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: rocklobster who wrote (27702)	1/15/2002 4:51:49 PM
From: Michael Watkins	Read Replies (1) \| Respond to of 52237

the thing that pisses me off is that that is supposed to be why we use stops....to protect ourselves in case of a surprise move or in case we are wrong in our thinking.. but to lose 40 points on a fill on a stop should be impossible...how the hell could that happen.?.. I just don't get it.. Having a stop is no guarantee that there will be someone willing to sell you something at that price. At that price. At that price. The Stop order is just a signal that you want out and that you are willing to take any price given. And in first in first out fashion, you are matched with a seller at the price the seller choses, not you. Ordinarily this is not a problem when things are liquid during the day but above or below the day's range all sorts of things can and do happen. This is just a painful example of an Expanded Range Bar. Some people trading in small time frames would have seen the attempt a the day's high, got long, and waited for the range to expand and then exit. Probably one of those people filled your order. I know its painful, a bitter pill to swallow, but the rationale behind it all is actually very simple and it all boils down to supply and demand issues that make the market work. Not trying to lecture but hope to help in your understanding.