Purpose of a stop
A stop-loss instruction seeks to close a position when a specified adverse price level is reached, subject to the product’s execution rules.
Price is not guaranteed
A market gap or limited liquidity can cause execution at a different price. An intended loss limit may therefore differ from the actual loss.
Size and distance work together
For a fixed position size, a larger adverse price move creates a larger loss. Review the stop distance together with contract size, currency conversion and transaction costs.
Practice changes carefully
In demo, modify a stop and confirm the platform accepts it. Learn the symbol’s minimum stop distance and avoid assuming that an unaccepted change is active.
Frequently asked
Can a stop remove all trading risk?
No. Gaps, slippage and operational failures can still affect the outcome.
Further reading
MetaTrader 5: Executing trades ↗External educational references do not imply endorsement, affiliation or regulation of QB Capitals.
Leveraged forex and CFDs involve significant risk of loss. Demo results do not predict live performance. Understand the risks ↗