[Anonymous]

Sorry for the word good. You are correct good has nothing to do with distance.

By good I ment, based on reality. And what is reality? what the market is telling you. Not based on an individual's account size or risk parameters.

Yes, keynumber (aka floor pivots) can make good stop levels. If the market tells you so. But the point is a keynumber can be further away than most people can handle. A doulble top on the left of the chart may make an appropriate place to place your stop just above. This would be what the market is telling you, but if you place your stop closer merely becuase of account consideration, then it is not a stop based on reality.