What is the definition of a trailing stop limit order in the context of digital currencies?

1 answers

• Feb 17, 2022 · 3 years ago
  A trailing stop limit order is a powerful tool for digital currency traders. It allows you to set a stop price and a limit price for buying or selling a digital currency, and the order will only be triggered when the market price reaches your stop price. The limit price ensures that your order will only be executed at a specific price or better, protecting you from slippage. The trailing feature is what sets this order type apart. It automatically adjusts your stop price as the market price moves in your favor, allowing you to lock in profits as the price continues to rise. This type of order is especially useful in volatile markets, where prices can change rapidly. By using a trailing stop limit order, you can take advantage of price movements while still managing your risk.
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