What is a mobile stop loss order in foreign exchange trading?

2024-06-18 2354

What is a mobile stop loss order in foreign exchange trading?

Mobile stop loss orders are used to limit risk while also locking in some profits in transactions. If you have already long EUR/USD at 1.1740 and want to limit your risk while locking in some profits, you can set a mobile stop loss order after opening the position.

When the price of EUR/USD increases, the mobile stop loss order will move up with the points you set. If the price rises to 1.1790, the mobile stop loss order will continue to move upwards with the market price, ensuring current profits are protected, and will also automatically close positions in the event of a sudden market decline.

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