#ProjectCrypto ​The trailing stop loss is an advanced risk management tool in trading, and it differs from a traditional stop loss order. While a normal stop loss order remains fixed at a specific price, the trailing stop loss is characterized by flexibility and dynamism.

✅️How does the trailing stop loss work?

1: The trailing stop loss order follows the market price if it moves in your favor, maintaining a specific distance (a fixed amount or percentage) between the market price and the stop level.

2: If the market price continues to move in the direction that profits you, the trailing stop loss level automatically rises with it. If the market direction reverses and starts moving against you, the trailing stop loss level remains fixed in place.

3: The automatic closing order for the trade is triggered if the market price reaches the trailing stop loss level.

May God grant you all success.