Glossary / Order types

Stop loss

Definition

A resting order that exits a position once price reaches a set level.

Why it matters

A stop loss defines your risk before entry. Moving one further away mid-trade is the single most damaging habit a journal will expose.

Example

Long at $52.00 with a stop at $51.20 on 300 shares caps the loss at $240 plus slippage.

How to track it in a journal

TradeStack calculates the core performance numbers — win rate, average win and loss, profit factor, expectancy, drawdown and consistency — automatically from imported trades, so stop loss stops being something you estimate and becomes something you read.

Related terms

Keep reading

Stop estimating your numbers

TradeStack is a free trading journal that calculates them from your own trades.

Start free