Can you think of a scenario in which a long-term investor needs a stop loss order?

Using a stop-loss order is highly recommended by and for most traders in the stock market. However, the Stock Trend Investing system does not have any stop-loss orders.

This is controversial. Why don’t I use them? We will explain here using a few different scenarios.

In summary, you can say that we do not use stop loss orders at Stock Trend Investing because we are long-term investors and not frequent traders. That requires some further explanation.

As long-term trend investors, we want to capitalize on trends that last many months or years. On average, we see that the long-term trend only changes direction once in the two or three years.