Glossary Term

Trailing Stop

Back to Glossary

A trailing stop is a kind of stop order that is used by traders to protect their accounts from being exposed to large losses if the price should move against them. The main difference between a trailing-stop and a stop-loss is that stop-loss orders are static, whereas trailing stops trail the current price by a predefined pip-range. This has the effect of allowing your profits to run while still having some protection in place if the price reverses.

Found the definition you’re looking for?
If you feel we’ve missed a term; let the Traders Expert team know and we’ll include it in our Glossary.

What is trailing stop? A Traders Expert explanation

Join Our Community!

Receive invitations to our live events, webinars & more!

Traders Expert