A Trailing Stop is a dynamic Stop Loss that automatically adjusts as the market price moves in favor of your position. It is available on the cTrader platform.
How a Trailing Stop Works:
- Buy Orders: The Trailing Stop will move up as the market price rises.
- Sell Orders: The Trailing Stop will move down as the market price decreases.
Example:
- You open a Buy Order for EUR/USD at 1.20010.
- You set a Trailing Stop of 10 points (1 pip).
Price Movement:
- When the market price reaches 1.20020, the Trailing Stop will set the Stop Loss (SL) at 1.20010.
- If the market price moves up to 1.20030, the Trailing Stop will adjust the SL to 1.20020.
- This adjustment continues as long as the market moves in your favor.
Important Note:
- If the market price drops, the Trailing Stop will not readjust the SL.
- The SL only adjusts when the market moves in the direction of your order.
Platform Availability:
- Trailing Stop is only available on the cTrader platform.
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