#StopLossStrategies Stop-loss strategies are essential risk management tools used by traders and investors to limit potential losses. These strategies involve setting a predetermined price level at which a position will be automatically sold to prevent further losses. Common types include fixed percentage stop-loss, trailing stop-loss, and volatility-based stop-loss. By defining exit points in advance, stop-loss orders help eliminate emotional decision-making and protect capital. Trailing stops adjust with favorable market movements, locking in profits while managing risk. Effective use of stop-loss strategies can enhance trading discipline, reduce stress, and improve long-term portfolio performance, making them crucial for successful investing in volatile markets.