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On the DecodeFX platform, you can set stop-loss (S/L) and take-profit (T/P) options through the MT4 or MT5 trading terminals to help manage risk and lock in profits.

What are stop-loss and take-profit?

Stop-loss and take-profit orders are automatically triggered by the system to close your position when the market price reaches or exceeds your set bid/ask levels.

• Stop-loss: Triggered when the price moves unfavorably, helping to limit losses.
• Take-profit: Triggered when the price moves favorably, helping to lock in profits.

Please note: Stop-loss and take-profit are only conditions that trigger market orders, not guaranteed execution prices. During rapid price fluctuations or price gaps, the actual execution price may differ from your specified price. This is called slippage.

• Slippage can work for or against you and is essentially the result of a market order being executed at the "best available market price."

   

Setting Methods

Method 1: Modify Order

1. Open Terminal and go to the Trade tab.
2. Find the position you want to modify, right-click and select "Modify or Delete Order," or simply double-click the Stop Loss (S/L) or Take Profit (T/P) field.
3. Enter your target price and click Modify to complete.

Method 2: Drag on Chart

1. In the menu, check Show Trade Levels under Tools> Options  > Charts
2. On the chart, click the line for your position:

• Drag upwards → Set a Take Profit for a Buy order, or a Stop Loss for a Sell order.

• Drag downwards → Set a Stop Loss for a Buy order, or a Take Profit for a Sell order.

   

Notes

• Buy order: Stop Loss must be below the current Bid price, and Take Profit must be above the current Bid price.
• Sell order: Stop Loss must be above the current Ask price, and Take Profit must be below the current Ask price.

• Different trading instruments have minimum stop-loss/take-profit distances. If the settings are too close to the current price, the system will reject the change. You can check these parameters in Market Watch > Symbol Properties.

   

DecodeFX Tips

• Setting stop-loss and take-profit is an important tool for risk management, but it does not guarantee an absolute transaction price.
• Due to the possibility of gaps or volatile market conditions, once triggered, the transaction will be executed at the next best price available.

• It is recommended to plan your position size and stop-loss distances appropriately, and to manage risk based on market conditions.

   

To learn more about trading fundamentals and risk management, please visit the DecodeFX Academy.