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Forex Trailing Stop

Trailing Stop

Trailing Stop is an indication of automatic change of stop-loss when the transaction becomes profitable. Most of all, this option is profitable for the highly designated trend. Trailing Stop automatically moves the stop-loss in the direction of the current price. The conditions of this movement are set when you install this option. Trailing stop change the level of stop-loss only in the case of the trend in the lucrative direction for open trade. If rate movement is in an unprofitable direction for the transaction, stop-loss order remains unchanged. And if the price reaches the level of stop-loss, in this case the transaction is completed fixing the result. Thus, the trailing stop allows the trader to minimize the potential loss of ability to produce a substantial profit. This is possible in situation of a strong trend, when the price goes mostly in one direction. This option is very useful in case of impossibility to monitor constantly the current state of prices by trader. Trailing stop works only when the terminal is turned on, cause only trading terminal controls this operation, not the trading server. Trailing stop is possible to set only one for each open deal.

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