As an investor, avoiding big losses is at least as important as making profits. For example, if an initial investment of £1,000 falls in value to, say, just £500 - a 50% drop - you'll need to double your money just to break even. Here's where stop-loss orders come in.
A conventional stop-loss will simply ensure you get out of the market at a fixed price above or below your initial trading price.However, a trailing stop allows you to keep more of your profits.
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