stop-loss is an instruction you set with your broker or exchange to automatically close your trade when the price reaches a certain level, limiting how much you can lose.
stop-loss is an instruction you set with your broker or exchange to automatically close your trade when the price reaches a certain level, limiting how much you can lose.
A stop-loss is an instruction you place with your broker to automatically sell (or buy, if you're short selling) an asset when it reaches a specified price. Its main purpose is to limit potential losses.