Lesson 6: What Is Take-Profit & How to Lock in Gains 🎯💰
You’ve heard of stop-loss, but what about take-profit? Smart traders don’t just limit losses — they also lock in wins. Let’s break it down 👇
---
What Is a Take-Profit Order? 📈
A take-profit (TP) is a preset price where your trade will automatically close in profit once the market hits that level.
No need to sit at your screen — the exchange does it for you. 💻⚙️
---
Why Use It? 🤔
✅ Secures profits before the market reverses
✅ Keeps emotions out of your trades
✅ Helps you follow a solid plan, not FOMO 😤
---
Example 💡
You go long on BTC at $30,000
You set:
Stop-loss at $29,400
Take-profit at $31,200
If price drops → you lose only a bit
If price pumps → you exit with solid gains 🔥
---
Pro Tip 🎯
Combine stop-loss + take-profit in every trade. This gives you a full trade setup with a clear risk/reward ratio.
Example:
Risking $100 to make $200 = 1:2 risk/reward 💎
Do this consistently and you're already ahead of 90% of traders 💯
---
Next lesson: How to Build a Simple But Powerful Trade Plan 🧠📊
