Trailing Stop
What's Trailing Stop?
A trailing stop order helps users lock in profits and manage risk by automatically adjusting the stop-loss level as the market price moves.
When the price moves in a favorable direction, the stop-loss moves up accordingly to protect gains already made. If the price reverses, the order is triggered to exit the position, preventing further losses.
The Two Positions of Trailing Stop in TradeWiz bot
- Auto Sell
- Copy Trade
Copy Trade Setting - Copy Trade Auto Sell
How a Trailing Stop Works (Example: 5% Trail)
| Price Movement | Current Price | Stop-Loss Level (5% below current price) | What Happens |
|---|---|---|---|
| Initial Price Set | 100 | 95 | 🔒 Stop-loss set at 95 |
| Price Rises to 110 | 110 | 104.5 | 🔄 Stop-loss moves up to 104.5 |
| Price Rises to 120 | 120 | 114 | 🔄 Stop-loss moves up to 114 |
| Price Drops to 116 | 116 | 114 | ⏸ No change, still above stop-loss |
| Price Drops to 114 | 114 | 114 | 🚨 Stop-loss hit - position is closed |