Just wanted other peoples opinions on placing stops outside the market when trading long term trends.
I've been thinking about this because time and time again I've seen tails (as seen on candlestick charts) force me and others I know to be stopped out of the market, but then the stock recovers by the close and continues in the uptrend.
The risk with that set-up means that you wont be first out the door in a black swan event, but I think this risk would be more than offset by the additional gains from letting the winners run and in less transaction costs.
An example today with EVE. Went as low as 26c. Now has recovered to 30c.