A Stop Loss in forex refers to an order to close a trade when it reaches a certain price. It is a tool used to protect your investment and limit losses.
If the market hits this price and you have lost the set amount, the Stop Loss will trigger and close your position automatically.
• Requirement: An SL is required for every position, except for non-leveraged buy positions.
• Execution Note: Keep in mind that, under normal market conditions, a Stop Loss might not always be executed at the exact set price.