Can I place a Trailing Stop?

Trailing Stops are a risk management tool that allow you to manage your risk without restricting your potential profit. They can help you to secure your gains as the market moves in your favour and give you added flexibility as they automatically track your profitable positions. This means you don’t have to continuously think about monitoring your position and moving your stop manually.

Once you have set your Trailing Stop you need to set the distance you want your Trailing Stop away. If the market then moves in your favour, the Trailing Stop will move in that direction at a set size of increments. Minimum distances and set size of increments may apply to some Trading Platforms.

Please note that Trailing Stops are not guaranteed so you may still be subject to slippage in volatile market conditions, so it is not possible to have both a Trailing Stop and a guaranteed stop. There are no extra charges for selecting your stop order to be trailing.

Example of a Trailing Stop

Here is an example of how one might use a Trailing Stop.

Buy 100,000 GBP/USD at 1.6050.
The level of the Trailing Stop order is set at 1.6030.

If the market moves in your favour (higher) then the Trailing Stop will move in that direction according to the set size of increments applicable to that market. If it is set to increments of 10 pips, then if your GBP/USD position moves higher by 10 pips (to 1.6060), your Trailing Stop will move up 10 pips to 1.6040.

If GBP/USD continues to rally without retracing, then for every 10 pips it rises, your Trailing Stop will carry on stepping higher in increments of 10 pips.

If at some point GBP/USD does turn lower, then your Trailing Stop will remain in place at the last level it has stepped to, acting as a normal stop order.

Trade

CFD Trading involves significant risk.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
64.4% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
Professional clients can lose more than they deposit. CFD trading involves significant risk.
Read full Risk Warning Notice.

Price Markets UK Ltd (Price Markets) is a company registered in England and Wales under registered number: 09597543.
Price Markets is authorised and regulated by the Financial Conduct Authority (FCA) under firm reference number: 725804.

Office: 60 Gresham Street, London EC2V 7BB, United Kingdom.
Registered address: 35 Ballards Lane, London N3 1XW, United Kingdom.