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Tom,
What you ask will be difficult to answer because every method of entry will
have a different amount of risk. If you are using a Volatility Stop or
Parabolic for entry, the market is normally stretched out a bit, so you may
need to use a wider stop whereas, if you use fib/Gann pullbacks, you can use a
smaller stop. I believe that first, you must decide how you will enter. Also,
you might want to use a time filter, if price has not gone at least where
reward equals risk after four days, you may want to go to break-even or if not
profitable get out.
Since I don't risk more than $500 when I trade except in coffee, it would be
difficult for me to lower my initial protective stop. And because no two
people trade alike, I would not feel secure using someone's' work regarding
optimum stops.
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