TRADING GLOSSARY
Trailing stop
A trailing stop is a stop loss that follows the price by a set distance as the trade moves in your favour, and stays put when it moves against you.
EXAMPLE
With a 30-pip trailing stop, a long trade that rises 50 pips has its stop moved up to 20 pips above the entry.
RELATED TERMS
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Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure