It depends on the instrument chosen. Once the direction and momentum is established.There are various ways one can trade this depending on the risk profile.Go long in Cash,futures,buy call or sell a put.Stop Loss needs to be there.But I personally am not in favor of moving stops to breakeven.It gives comfort that you are having a risk free trade but in reality that means that you are not ready to accept the risk which you originally planned.
Once your target is achieved you can remove 1/3rd or 1/4 of your position and if you feel the upmove still has momentum.Then you can go breakeven with the remaining position.
Once your target is achieved you can remove 1/3rd or 1/4 of your position and if you feel the upmove still has momentum.Then you can go breakeven with the remaining position.
I am looking from a positional or long term perspective. Problem with me is once the share is in loss, I have never got rid of it and I keep holding it forever thinking it will come back to original buy price.
My point is if i put SL at breakeven and if it hits and goes lower, then I can re-enter at lower price. on the flip side, if it never goes down after hitting SL, I might miss the opportunity. After going through some pain, I feel it is always better to be safe in a investment than leaving it open for losses