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If I had put a 2% stop loss on every stock, I can guarantee you with absolute certainty that ALL the stop losses would have been triggered within 48 hours.
All without exception.
Stop loss orders are equivalent of sale orders. Just at a lower price.
The problem with it is that it's an automated process, not an intelligent one.
You sell when you think it's the right time to sell (wether you lose or not), then, yes when you decided to sell you can choose to do it "market" (not recommanded), "limit" (not under a certain price), "stop/limit" (if it falls under a certain price but not below a certain price) or, finaly our famous "stop" order aka stop-loss.
But never let a stop loss order decide for you.
Beside that, I agree with the other Larry's rules.
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