An ultimate guide to placing stop sell and trailing stop sell orders
by Antonio Boston marketing managerA
Trailing stop sell order sets the stop price at a fixed amount below the market
price with an attached “trailing” amount. As the market price rises, the stop
price rises by the trail amount, but if the stock price falls, the stop price
doesn’t change, and a market order is submitted when the stop price is hit.
This technique is designed to allow an investor to specify a limit on the
maximum possible loss, without setting a limit on the maximum possible gain.
Using
www.trailingcrypto.com, cryptocurrency traders can now perform Trailing Stop
orders on all those exchanges which doesn’t natively support these kinds of
order.
This
Tool is Free to use and currently provide support for Binance, Binance Futures,
Bittrex, Bitmex, Kucoin, CEX.IO, Poloniex, Hitbtc, Huobi Pro, OKex, Coinex,
Indodax, Timex, Kraken, Bitstamp, Binance US. Under one platform now user can
trade on all the supported exchanges and order types supported by those
exchanges.
Cryptocurrency
trading has grown in popularity nowadays and traders are looking to optimize
profits and minimize losses through trailing sell orders and trailing limit
orders. There are several orders traders can use to protect their investment
and optimize profits.
What is a trailing stop sell order?
A trailing
stop sell order is a trading order whereby the trader will set a fixed
stop price for the order below the current market price as per the trailing
amount. Interestingly the stop price increases concurrently with an increase in
market price but it is always rising with the initial interval set by the
percentage of the trailing amount.
Once
the stop price is attained the order will then be triggered and the same can
also be done in reverse for a buy trailing stop sell order. With this kind of
trading strategy investors and traders can minimize their maximum possible
losses with endless possible gains.
To
set up your stop sell order on TrailingCrypto using Binance you select the
exchange from the main tab using the drop-down arrow. Then select the order
type, in this case, it will be a trailing stop sell order and then pick the
quote and base coin. When picking the number of coins you want to sell you can
specify the number of coins or you can select a percentage option.
Input
the quote price you bought the crypto and if you leave it blank then the
current market price will apply. The offset will be the fixed percentage just
before the market price which is an offset of the peak market. In the event,
the market price increases the stop loss amount will increase, and in contrast,
if it drops the stop loss doesn’t change.
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Created on Oct 1st 2023 12:16. Viewed 110 times.