SAB stop loss trigger, please help

[waitandsee]

I want to set a stop loss trigger on my 500 SAB shares to preserve my gains in case of, 1: Bad news from competition authoroties OR 2: sudden rise in Rand exchange rate. I want to set the trigger level at R950 (about 2.5 % below current), and the sell price at R940. Does this make sense? Any comments or advice will be appreciated.

[Blik]

You can set up a stop loss like that. However, maybe watch Simon Brown's Webinar on stoplosses on Justonelap. A 2.5% gap, from an investment, long term point of view, might be a little tight. But I dont really follow SAB, so cant add any real value.

[Rams]

?waitandsee

[Rams]

your stop loss is your risk amount, so should have been calculated before doing the trade. But lookin at the chart, R900 would have been a good level to have set as stop.

[mullet_fish]

On SAB you should be ok with your plan The danger everyone should be aware about is on a slow day the trade could be "bidded" at say R930.....or lower - NOW what - you wanted out and have missed the boat! Give yourself some breathing room with these plans.

[SimonPB]

makes perfect sense. SAB only has upside for currency move and cost of money/time .. downside due to currency strength, and deal being canned (highly unlikely but not impossible) ..

[CHATTYCHAT]

The other random factor - some buyer might just have a finger slip and matches your stop and this singular action triggers your stop...