A stop loss exits your trade automatically to limit losses — here is exactly how it works for beginners.
A stop loss is an order placed with a broker to buy or sell once a stock reaches a certain price. It is designed to limit an investor’s loss on a position. This glossary entry explains the concept clearly.
This content is for educational purposes only and is not financial advice.
Shahbaz writes educational content about stock markets and trading for haimatrading.com. All articles are reviewed before publishing. Not a financial advisor.