Sell Stop at 1.0550
Stop Loss above 1.0625
1st Target at 1.0475
2nd target at 1.0325
Stop Loss must not be more than ATR*3 (my subjective opinion)
In case if the current set up doesn’t let me to place a stop loss of this size, I will Use Limit orders. If the Stop loss is triggered, and the price is still going in chosen direction, I prefer not to lose a trade, and re-entering the position, with a short stop loss.
I suggest to use a “timing” stop (Close if the price will not go in your direction within 3 bars (as an example), all depends on your trading strategy), Sometimes I prefer not to wait till my SL is hit.
P.S. Using a small stop losses in my strategy makes them triggered quite often, however, it saves my account from wide drawdowns, and keeps my RRR positive.