Protective Stop

An order that an investor makes through a broker or brokerage service to buy or sell an investment immediately at the best available current price. A market order is the default option ...

An order placed with a brokerage to buy or sell a set number of shares at a specified price or better. Limit orders also allow an investor to limit the length of time an order can be ...

An order to buy or sell a security at a price that is lower than the current market price. For example, a trader can place a limit order to buy a stock at a specified price that is below ...

An order to buy or sell at a price set higher than the current market price of the security. Examples of above the market orders include: a limit order to sell, a stop order to buy, or a ...

A price level that, if reached, will trigger an order to sell an underlying security. Hard stops are set at a constant price and are inherently good until cancelled. A hard stop is used ...

The movement of a security's price to the extent that it confirms or refutes the trader's original prediction. A movement of material amount that refutes the trader's original prediction ...

The important decision to exit a position must be based on more than emotion if you want to be a disciplined trader.

Taking control of your portfolio means knowing what orders to use when buying or selling stocks.

Avoid taking premature profits or running losses by setting appropriate exit points.

It is impossible to avoid them completely, but there is a systematic method you can use to control them.