>>8. When you enter a fan trade you should always use a stop loss.
When the trend is bearish and the fan is bullish, you should place a stop below the lowest point of the bearish trend.<< (from "4 Tips for Trading with the Fan Principle")

https://tradingsim.com/blog/fan-principle/

Here is the question: Where would YOU place the stop loss – just below the black horizontal line, or the blue line, or the red?