MetaTrader 4 - Using a Trailing-Stop
The market can move very strongly at times due to large trades being done by international banks, fundamentals (= things happening in the world that may have an impact on the markets), fundamental announcements and other factors.
It can move so quickly that it can be difficult to close a trade at the right moment!
The reason is that market may have moved quite a few pips by the time that your order to close reached the trading server, and you will get a re-quote. A Pop-up window will appear on your screen with a message and new price. You will have only a few seconds to respond.
It is possible to get more than one re-quote in a very fast moving market.
You can activate a Trailing Stop in strong moving market conditions, in order to make more profit.
Instructions to activate a trailing stop:
Whenever your Stop is past the entry in the right direction
(= above the Buy or below the Sell),
then you are in a Win-win situation!
Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
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