this is my first post on the forum despite having read for the last several months. I've learnt heaps and have started to put some of it into practice. I've tried searching for an answer to my question but couldn't find anything.
I've recently started trading with Bell Direct and have a question about placing a trailing stop using conditional orders. The Conditional Order Pad allows me to set buy/sell conditions based on a percentage drop/rise of the previous day open/close/high/low. Assuming I have an initial $1000 hold in stock XYZ wich has gone up 10% to $1100. Say I wanted to limit my total risk to 5%. I could set my conditional order to sell the stock if it drops more than 5% of the previous day. This requires a fairly significant drop on any single day. If the stock dropped 1% every day for 5 days. I'd loose my 5% without triggering the conditional order.
Is this a flaw in the way I'm setting my trailing stop or am I limited by the conditional order pad only allowing me to set conditions based on the previous days trade and not further back in time.