Are you considering Trailing Stop Loss order type for Alpha launch?
I set a percentage (lets say 10%), and stop loss limit will increase as share touches new highs, but doesn’t go down if price drops, for example, starting price is 90, trailing stop loss is set at 10%, price fluctuates between 85 and 90 nothing changes, as the price go to 100 stop loss limit increases with it, as long as the price doesn’t touch 90 (new limit) nothing happens, the share will be sold when it is on or lower than 90.
An awesome feature to add to the app, helps the investor to manage risk much easier without continual manual intervention of deleting old stop losses and creating replacement ones each time the price moves up
Apologies if a stupid question but is this a scheme done elsewhere? It seems like too simple an idea that would be a no-brainer but if everyone did this would that not make the market more volatile? I mean surely everyone in theory couldn’t do the same as you have to have winners and losers.
Hello everyone!! Guys what do you think of freetrade adding a trailing stop-loss feature in the app? This help protect some of the profits we make on future trades. For those who knows and see the importance of this feature please vote…
Trailing Stop Loss
From best i can provide for topic
A trailing stop loss sets the stop-loss order at a fixed amount of pips above or below the market price, depending on whether the position is SELL or BUY. As long as the market is moving in your favor, the stop loss will move with it, maintaining the same locked-in pip distance from the current market rate.
For example, if you set TSL for a BUY position, the stop loss will rise with the market in one-pip increments. This is why it’s called a ‘trailing’ SL; as the price rises, the stop loss rises with it. However, if the market is moving in the opposite direction i.e., if the price is falling, the stop loss will not change and a close order will be submitted when the stop loss rate is reached % set on.