I have been reading the Minervini book recommended here and am rather taken with his ideas esp. the trailing stop loss metric.
Does anyone else here use it, can it be done inside Stockopedia on my folios and what settings are other people using ?
I use a trailing stop loss. I set it up via my broker as a 'hard' 15% from high. This is to catch 'surprises' and also takes me out when volatility increases to the downside. I also reset weekly, upwards, at any 'reaction lows' that have formed and try to time entry around breakouts/new highs, which gives a tighter initial stop.
With this sort of system you need to be prepared to monitor closely and 'reset' entry points as well as avoid more volatile shares; it is also linked to position sizing, which is far more important in my opinion.
Finding a broker that offers an automatic trailing stop can be a challenge (IB, Saxo and idealing are the ones that I'm aware of, who also support buy-stops (buy on breakout)), although a weekly 'manual reset' should usually be sufficient if you don't also need a buy-stop.
