Stop-loss, explained simply
An order that sells automatically if the price falls to a level you choose.
A stop-loss limits how much you can lose on a trade. When the price touches your stop, the exchange places a sell order for you.
In a sudden crash the sale can happen below your stop price - it limits losses, it does not guarantee them.
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Start freeWritten by Coin Healer for beginners. Information only, not financial advice.