Trailing Stop Order – how often do they get executed due to an error?

Does Binance have a trailing stop loss?

Quote: And it actually closes your open position on bitcoin. So as you can see step by step that the price is advancing by the help of trailing. Stop you limit your losses. And lock in your profits.

How does trailing stop in Binance work?

A Trailing Stop Loss (TSL) is placed just like an ordinary Stop Loss when entering a position; the difference here is that unlike a typical Stop Loss which is static, a TSL will follow the price as it moves up and wait if the price moves down.

How do you make money from a trailing stop loss on Binance?

The trailing stop moves by a specified percentage when the price moves favorably. It locks in profit by enabling a trade to remain open and continue to profit as long as the price is moving in the direction favorable to traders. The trailing stop does not move back in the other direction.

What should I set my trailing stop loss at?

Based on the recent trends, the average pullback is about 6%, with bigger ones near 8%. A better trailing stop loss would be 10% to 12%. This gives the trade room to move but also gets the trader out quickly if the price drops by more than 12%.

What is a disadvantage of a trailing stop-loss?

Disadvantages of Trailing Stop Loss



Most of the time (even if you use a trailing stop loss), you’ll not ride a trend. Also, it’s common to watch your winners turn into losers — as the price moves in your favor and then hit your trailing stop loss. This causes many traders to give up and they’ll claim “it doesn’t work”.