Tags Posts tagged with "Trailing Stops"

Trailing Stops


Orders are often seen as nothing more than a gateway to the real business of trading. Yet the range of different order types that’s available offers a powerful set of tools.


In theory trailing stops provide a way for traders to limit losses and to lock in profits on individual trades. The basic idea of the trailing stop is that as a trade moves into profit, the stop level adjusts upwards in the case of a long (buy) trade or downwards in the case of a short trade.