When I want to either protect major portions of profits Ive already made or limit a loss, youve said that CREST investors will use sell stop-limit orders. What are sell stop-limit orders?
A sell stop-limit order is always placed below the market and is typically used to limit a loss or protect a profit on a long position. If a stock trades at or through a stop price placed below the current selling price of a stock, a sell stop-limit order will be activated to sell the entire position.
