Trailing Take Profit Tutorial
What is it?
Two different configurations are within this feature, trailing stop loss and take profit.
The first one, trailing stop-loss order, or simply trailing stop, refers to the technique of raising the stop order of your coin assets as the market price goes up thus securing a profit margin while staying in the game holding the coin asset to potentially make higher profits in a bull market. Therefore the stop-loss price is not set at a single, absolute dollar amount, but instead a certain percentage below the market price.
In a nutshell, a trailing stop-loss order should be regarded as the safety net of your profits. It allows the trader to stay in the game holding a coin asset while protecting the profit margin if the price drops to keep attempting to move.
The second, Take Profit, refers to the technique of selling a fraction of your balance whenever a target is hit.
When to use it?
How does Anny operates the Trailing Take Profit?
* Do the Trailing Take Profit and the Take Profit work together?
The Trailing Take Profit technique works in conjunction with the Take Profit but this takes precedence over the other.
Example 1: If you have Trailing Take Profit on and the Take Profit set for target 3, Trailing Take Profit will be effective on target 1 and 2, when hitting target 3 the Take Profit will execute 100% of your balance.
Example 2: If you have Trailing Take Profit on and Take Profit set at 5% profit, Trailing Take Profit will be effective only until the desired profit is reached. When the target profit reaches the Take Profit will execute 100% of your balance.
How can I set it up?
What are my options?
Target to start shifting the stop-loss order
- Start from target 1: the stop-loss will be set to the buy range of the signal. Offers a higher protection against losses, however there’s a higher chance that you exit the signal prematurely.
- Start from target 2 and above: many signals fallback to the buy range after target 1, this strategy grants you higher chances of climbing bigger targets, but increases the probability of exiting the signal with a loss.
Where to place the trailing stop-loss order when a target is reached
- 1 target below
- 1.5 targets below
- 2 targets below
- Relative percentage
Set up the stop margin
Adding a margin between the stop price and the sell price will increase the chances that your order will execute. Your selected margin will be used to calculate the limit price of the stop order.
Signal stop price: 0.00001234 / margin: 0.5%
Stop price = 0.00001234
Limit price =0.00001228 (0.5% of 0.00001234)
This is the option to sell a fraction of your balance at every target met.
- Select the fraction to sell at every target.
- Select the order type
Here are the pros and cons of Trailing Take Profit:
* PRO: you secure some profit by selling part of your balance and stay in the game climbing up the target ladder with the rest of your balance. This strategy is particularly effective when the price starts climbing from buy range to target 1, there's usually a high probability that the price will drop to buy range before attempting to climb to target 2.
* CON: you will compromise your profitability, especially if the signal reaches its full potential.
* Take a look at our GENERAL QUESTIONS page for more information!
* Tutorial on our YOUTUBE page on how to set up the Trailing Take Profit: