Take profit/stop loss

What are Take-Profit and Stop-Loss?

The take-profit/stop-loss feature lets you set price levels to automatically buy or sell stocks when they reach those prices, helping you manage risks and lock in profits.

Take-profit order: Closes your position when the price reaches a certain profit level, locking in your gains.
Stop-loss order: Closes your position if the price drops to a certain level, limiting your losses.

When to Use It and How to Access It

After placing an order: Once your order is done, you can set take-profit and stop-loss levels using the order panel.

Managing current positions: Alternatively, you can set take-profit and stop-loss levels for your current positions using the "Profit/Loss" button, as shown.

How to Use the Feature

Set TP (take-profit) and SL (stop-loss) prices and the system will display your estimated profit or loss and the percentage change.

Using the image above as an example:

At TP price: 229.89;

Estimated profit percentage: +10.00%

Estimated profits*: +208.97USD

At SL price: 188.09

Estimated profit percentage: -10.00%

Estimated profits*: -209.03USD

*Estimated profits = (TP price - Cost price) * Qty

Estimated losses = (SL price - Cost price) * Qty

TP and SL toggle switch:

Enable both toggles to set both TP and SL prices. Note: If a TP order is triggered by the system, your SL order will automatically be cancelled, and vice versa.

TP only or SP only: Set either a TP or an SL order

For a detailed explanation, see: “Examples”

2. Order parameter settings:

Select “Limit” or “Market” to set order type

Limit Orders require input for TP and SL prices

Time in Force: Sets how long your TP and SL orders remain active.

Options: Good Till Cancelled, Day, or a custom period

Session

Selecting a trading session is required for US stocks

Note: Market Orders are only available during regular trading hours.

3. Price Settings

TP/SL price: Adjust the target price based on the percentage change from the cost price.

Qty: Set the number of shares based on your current position.

TP/SL (Order Price): Adjust the target prices based on your TP/SL prices.

Parameter Descriptions

TP: If the market reaches or exceeds the set price, your position will be closed automatically
- TP Only: Focus on locking in profits by setting just the TP price.
SL: If the market falls to or below the set price, the system will automatically close your position.
- SL Only: Focus on minimizing losses by setting just the SL price.

Note: If a TP order is triggered by the system, your SL order will automatically be cancelled, and vice versa.

Examples:

Investor A has 500 shares of Stock XYZ purchased at a cost price of $10.00 per share. Investor A sets the ‘TP Price’ at $11.00, and the ‘SL Price’ at $9.50 for 100 shares by placing a Market Order in the “TP/SL” feature.
1. Once the order is submitted, the system creates two conditional orders: (1) an SL order to sell 100 shares if price falls to $9.50 or lower; and (2) a TP order to sell 100 shares if the price rises to $11.00 or higher. If the price reaches $11.00, the TP order will be triggered and the SL order will therefore be automatically cancelled.
Investor B opens a short position to sell 100 shares of Stock XYZ at a cost price of $10.00 per share. Investor B then places a Limit Order, setting the ‘TP Price’ at $9.00 and the ‘SL Price’ at $11.00 for 100 shares. The ‘TP (Order Price)’ is set to $8.90 while the ‘SL (Order Price)’ is $11.00.
1. Once the order is submitted, the system creates two conditional orders: (1) a TP order to buy 100 shares at $8.90 if the price drops to $9.00 or lower; and (2) an SL order to buy 100 shares at $11.00 if the price rises to $11.00 or above. If the price reaches $11.00, the SL order will be triggered and the TP order will therefore be automatically cancelled.

Managing Your Take-Profit and Stop-Loss Orders

After your orders are placed, view and manage them in the ‘Orders’ tab.
- Long position - two sell orders.
- Short Position - two "Buy" orders.

Important Things to Note

Take-profit/stop-loss prices: The system defaults to setting prices at +/- 10% of your cost price. However, this does not apply if your cost price is $0 or lower.
Limit Orders: Set take-profit/stop-loss prices according to the stock’s liquidity, as limit orders might not always be filled
Quantity: Take-profit and stop-loss orders are conditional and do not affect your available shares. However, if you manually close a position, the orders might fail due to insufficient shares.
Check your order's "Time in Force" and "Trade Sessions" settings to ensure they align with your trading plan. Note that Market Orders are not supported during pre- and post-market sessions for US stocks.

FAQs

Q: How can I amend an existing take-profit/stop-loss order?

A: Tap "Amend" on your order in the 'Orders' tab to adjust the order settings accordingly.

Q: Why was my take-profit/stop-loss order triggered even though the set price wasn't reached?

A: The price shown on the candlestick chart is a weighted average, while the system triggers your conditional order based on real-time transaction prices.