A well-placed stop-loss is your safety net in Forex trading, protecting your account from significant losses. Avoid setting stop-losses too tight, as small market fluctuations can trigger them prematurely. Instead, use key levels like support and resistance or ATR (Average True Range) to determine logical stop-loss distances. For example, if you’re trading a breakout, place your stop below the breakout level to account for potential pullbacks. Always calculate your risk before entering a trade, ensuring your stop-loss aligns with your overall risk management strategy. Remember, stop-losses aren’t restrictions—they’re tools for survival in the market.