“They set their stops at one-half N on the first day of trading…”

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Hi Michael,

In your book page 87 under “Pyramiding: Adding to Winners” it states that “They set their stops at 1/2N on the first day of trading and from that point forward, 2N stops were used.”

Query: If the 1/2N stop doesn’t go off on the first day, is the 2N stop set immediately from the 2nd day or does the 1/2N stop stay until the 2nd trade is initiated, then 2N from there?

Thanks,
Peter H.

TF is very robust. There is no one magic answer way. In fact, if both ways didn’t work it would be hard to imagine TF working.

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