Stop-Loss Order

« Back to Glossary Index

What is a Stop-Loss Order? 

A stop-loss order is an instruction to sell a security when it reaches a certain price to limit an investor’s loss. 

 

Explanation: 

This order helps traders manage risk by automatically closing a position at a predefined price level. 

 

Practical Example of Stop-Loss Order: 

ONE-SIGNAL’s trading platform allows users to set stop-loss orders to protect their investments from significant losses.

« Back to Glossary Index