Hi I'm planning on buying some US shares for the long term. Of course there may have some spikes and and I was wondering on a long term investment a Stop Loss is needed.
As US is in a bull market the stock in question should also rise though I would expect some spikes which could cause the stop loss to trigger prematurely.
Wanted to know if many investors put in stop losses under these conditions.
Typically stop losses are not needed (or even used) in long-term holdings.
If you are concerned about taking short-term losses you could use one, but perhaps the better alternative is to make a safer investment that has less swings if you are concerned with volatility.
Ultimately, I don't think there is a correct answer to this. I would rarely put a stop-loss in a position, but I know people who use them regularly.
