Take Profit, Stop Loss and Tailing Stop
A take profit is the amount of money you hope to make on a trade. A trader sets a closing
price at which to terminate the trade.
Take profits are important, as they help you to manage your risks by automatically exiting the market at the price you plan to — even if you are not watching your screen at the time the price is reached.
A stop loss is an order to buy or sell an instrument once the price of the asset reaches a specific price, known as the stop price. Most traders use a stop order before leaving for holidays or other situations where they are unable to monitor their portfolio for an extended period.
A trailing stop is an automatic stop order adjustment feature used to protect profit. This order moves the long position upward or downward within the specified range set by the trader. The trailing stop comes into effect when the positions exceed a specific level of profit.
Take profits are important, as they help you to manage your risks by automatically exiting the market at the price you plan to — even if you are not watching your screen at the time the price is reached.
A stop loss is an order to buy or sell an instrument once the price of the asset reaches a specific price, known as the stop price. Most traders use a stop order before leaving for holidays or other situations where they are unable to monitor their portfolio for an extended period.
A trailing stop is an automatic stop order adjustment feature used to protect profit. This order moves the long position upward or downward within the specified range set by the trader. The trailing stop comes into effect when the positions exceed a specific level of profit.
