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Trailing Stop Loss: Your secret weapon to avoid losing profits

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If you’ve ever seen a token rise 50%, get excited, and then drop suddenly while you were sleeping… this is for you.

The trailing stop loss is basically an automatic bodyguard. It places a “safety net” below your position that adjusts automatically as the price goes up but protects you if it starts to fall. The clever idea: maximize gains without being glued to the screen.

How it works

Two options:

1. By Percentage: Say BTC at $100. Set a trailing stop at 10% below the highest price reached.

  • Price rises to $150 → Your “safety floor” moves to $135
  • Then drops to $145 → Nothing happens, you’re protected
  • Falls to $135 → Boom! It sells automatically

2. By Fixed Amount: The current price is $100, set stop $30 below.

  • If it rises to $200, your floor drops to $170
  • If it then falls to $170 exactly → The sale is triggered

What no one tells you

⚠️ Be careful with this:

  • Your Margin is NOT frozen until it activates. Make sure you have enough available or you could get liquidated
  • Due to slippage or other system issues, sometimes it doesn’t execute at the expected price
  • If it fails due to low margin, extreme volatility, or server drop… your position remains open

In summary: it’s perfect for when you believe in a movement but don’t want to be watching charts 24/7.

BTC-1.7%
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