$ETH How to Move Stop Loss to the Nearest Achieved Target
To move the Stop Loss to each achieved target in trading (especially in scalping or short-term trading), you need to follow the strategy of "Moving Stop Loss" or what is known as Trailing Stop either manually or automatically. Here are the steps simplified:
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The manual method for moving the Stop Loss to each achieved target:
Assume you have a plan with three targets:
Target 1 = 1%
Target 2 = 2%
Target 3 = 3%
And the initial Stop Loss is at -1%.
The steps are:
1. Upon achieving Target 1:
Move the Stop Loss to the entry point (Breakeven).
This protects you from loss if the price goes back.
2. Upon achieving Target 2:
Raise the Stop Loss close to Target 1 (for example +0.8%), to lock in partial profit.
3. Upon achieving Target 3:
Close the entire trade or move the Stop Loss to Target 2 (for example +1.8%).
The automatic method (Trailing Stop):
If you are using a platform like MetaTrader, Binance, or TradingView with a bot:
You can set the Trailing Stop so that the Stop Loss automatically moves behind the price by a certain distance (for example 0.5% or 1%).
Some bots (like 3Commas or Cornix) allow you to specify:
"When the price reaches Target 1, move SL to the entry point," and so on.
Important tips:
Do not move the Stop Loss too quickly so that it does not get hit due to small fluctuations.
Use technical tools to identify support/resistance areas to set the smart SL.
Try this first on a demo account to ensure timing and method.