In this article, we explain what Trailing Stop- Loss is and how it works.

What is a Trailing Stop- Loss?#

The Trailing Stop-Loss automatically adjusts your Stop-Loss when the price goes up. Whenever the price goes down again, your Trailing Stop-Loss will fire and sell your position. This is an ideal way to follow an upwards trend and prevent selling too early. Manual, semi-automatic, and full auto-traders all use this feature.

How does a Trailing Stop- Loss work?#

See how Trailing Stop-Loss works in practice: Your bot bought a position and as the price of that currency rises, the bot automatically raises your Stop-Loss. As the price continues to increase, your Stop-Loss is adjusted again. When the price drops, the Stop-Loss is triggered, selling your position."