Risk warning: Trading CFDs and FX is risky and if you are a professional client, losses can exceed deposits. Pepperstone Financial Services (DIFC) Limited is regulated by the DFSA. Arranging for Pepperstone Group Limited, AFSL 414530, the product issuer.

Do Stop Loss or Take Profit orders guarantee the exit price for my trade?

Stop Loss and Take Profit orders set a price point where if the selected price is met or exceeded in the market Bid or Ask price, a market order will be sent to close your trade. In this way, a Stop Loss or Take Profit price is simply a trigger level for a market order. This means that in a fast-moving market or after price gaps occur it is possible the price you receive on exiting the trade is different from what you have set.

You may receive a price that positively or negatively impacts your trade, and this is known as 'slippage'. It's an inherent aspect of trading, as the market order that's sent to close your trade will be executed at the next best available price or the fair market value.

Couldn't find what you were looking for?

Get in touch via email, phone or live chat below.