Why is My Stop Loss Triggered Without Price getting To It?

Please give your thoughts

This can happen because of slippage & spread widening by your broker.

Please check the bid & ask price when your SL was triggered. It is possible that your broker had widened its spreads during that period.

In cases, when the market is very volatile, your broker could widen their spreads, meaning your SL might be filled at a worse price than you had actually expected.

My suggestion is to check at what price was your order triggered, or you can share the screenshot of your order for suggestions. Also, use a broker that has fixed spreads, avoid any broker with high slippage.

As volatility increases, the spread could widen from (or in general if your broker is bad, it could widen their spreads, which is a scam), for example, 1 pip (normal) to 5 pips or more.

If the current bid price is 1.1128 and the ask price is 1.1133, your stop loss at 1.1129 may not be executed at that exact level.

As karbin has explained, this can happen if the bid ask spread (bid-ask) widens at the broker.It can also happen if the broker is shady and they are fabricating their price feeds to stop the client.

Concept:

Bid price is price where you sell and ask is where you buy. most brokers show chart with bid price.

Example:

Eur/USD Spread 0.6 pips

bid-1.11531 | ask-1.11537

You sold 1 mini lot at 1.11531 your current loss is 0.6 USD. Stop is say 5 pips

Eur/USD Spread 5 pips

bid-1.11531 | ask-1.11581

Spread widens 1 minute later due to bad broker or news.you are immediately stopped out even though bid price is still the same.

This can happen during news time or during late hours when there is lack of liquidity the spread can widen to lets say 2-5 pips. So this could lead to stop out even though price is not at that level.

There is another situation when spread can widen if the instrument you are trading doesn't have much trading volume lets say a contract of wheat bitcoin etc. Spreads on those things could be huge.

Additionally as karbin has pointed out, only a bad scam broker would widen spread to 15-20 pips during non news hours.So you have ensure you trade with a regulated broker not a scam broker trying to grab your money.

You should post a screenshot of the order and tell the broker name to let us figure out the exact reason.otherwise we are just speculating on possible causes.

Yes I have experienced this too with the broker Exness . That day i was trading on a Monday Morning & i know Monday mornings are not a very good time to trade so that could be the reason

It is as you said it, early Monday or late night weekday between US and Asian session can be like that.

Thanks guys this is really helpful

If you are trading on the MetaTrader platform, rightclic on the chart, go to properties and tick the box for "show bid price" and "show ask price".

Two lines will show on your screen one representing bid and the other representing ask price.

Always watch out for when these lines approach your stop loss price, example if you are shorting the market your stop loss will be executed at the ask price so once the ask price line reaches your stop loss it will be triggered even if price hasnt reached there yet.

See images below

always set your charts to show bid price and ask price lines. If you are short it means you entered at the bid price and will have to exit at the ask price. This means when the ask price line (the upper of the two lines in the image) reaches your stop loss it will be triggered.

If you were long it means when the bid price (the lower of the two lines in the image) reaches your stop loss it will be triggered.