How is a Trailing Stop-Loss different from a regular Stop-Loss in FYERS?

How is a Trailing Stop-Loss different from a regular Stop-Loss in FYERS?

A regular Stop-Loss remains at the price you set, while a Trailing Stop-Loss (Trailing SL) automatically adjusts the Stop-Loss as the market moves in your favor. This helps you progressively protect favorable price movement without manually modifying the Stop-Loss each time.

How does a Trailing Stop-Loss work?

When Trailing SL is enabled, you specify a trailing value along with your Stop-Loss. As the market moves in your favor, the Stop-Loss adjusts accordingly based on the trailing value.

If the market subsequently moves against your position, the Stop-Loss does not move back in the unfavorable direction.

For example, suppose you buy a stock at ₹100:

  • With a regular Stop-Loss at ₹90, the Stop-Loss remains at ₹90 even if the stock price rises.
  • With a Trailing SL of ₹10, the Stop-Loss moves upward as the stock price moves in your favor. If the stock reaches ₹120, the Stop-Loss would move to ₹110 in this example.

This allows the Stop-Loss to follow favorable price movement while maintaining protection if the market reverses.

What is the difference between a regular Stop-Loss and a Trailing Stop-Loss?

FeatureRegular Stop-LossTrailing Stop-Loss
MovementRemains at the Stop-Loss price set by you.Adjusts automatically when the market moves in your favor.
When the market reversesRemains at the specified Stop-Loss level.Remains at its last adjusted level and does not move back in the unfavorable direction.
AdjustmentMust be modified manually if you want to change the Stop-Loss.Adjusts automatically based on the trailing value.
PurposeHelps limit losses at a predefined level.Helps limit losses while progressively protecting favorable price movement.
During sudden price gaps or high volatility, an order may not execute at the exact Stop-Loss level. The actual execution price depends on the available market price when the Stop-Loss is triggered.

What If...

ScenarioSolution
I want my Stop-Loss to adjust automatically when the market moves in my favor.Enable Trailing SL and specify the trailing value.
I do not want my Stop-Loss to move automatically.Use the Stop-Loss without enabling Trailing SL.
The market reverses after my Stop-Loss has trailed.The Stop-Loss remains at its last adjusted level and does not move back in the unfavorable direction.
I am looking for “Smart Trail” in the order window.The feature is now shown as Trailing SL in the order window.