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Stop Loss / Take Profit Calculator

Calculate stop loss and take profit levels from entry price, risk amount, and risk/reward ratio for trade management.

Stop Loss / Take Profit Calculator

Calculate stop loss and take profit levels from entry price, risk amount, and risk/reward ratio for trade management.

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Guide

Setting stop loss and take profit levels for trade management

  • Stop loss limits potential losses by automatically exiting if price moves against you. Set based on support/resistance levels or volatility (ATR).
  • Take profit locks in gains by exiting when price reaches your target. Set based on resistance levels, Fibonacci extensions, or risk/reward targets.
  • Risk amount is the maximum loss you're willing to accept if stop loss is hit. Position size should be calculated to limit risk to this amount.
  • Risk/reward ratio compares potential profit to potential loss. Ratios ≥2:1 are generally favorable. Higher ratios allow lower win rates.
  • For long positions, stop loss below entry, take profit above. For short positions, stop loss above entry, take profit below.

Frequently Asked Questions

Stop loss, take profit, and trade management

What is a stop loss?

A stop loss is an order to automatically exit a position at a predetermined price to limit losses if the trade moves against you.

How do I set a stop loss?

Set stop loss below support levels (long) or above resistance (short), considering volatility (ATR), and ensuring it aligns with your risk tolerance.

What is a take profit?

A take profit is an order to automatically exit a position at a target price to lock in gains when the trade reaches your profit target.

How do I set take profit levels?

Set take profit based on technical levels (resistance, Fibonacci extensions), fundamental targets, or risk/reward ratios (e.g., 2:1 or 3:1).

Should I always use stop loss and take profit?

Yes, for most trades. Stop loss limits losses, and take profit locks in gains. Exceptions may include swing trades or when using trailing stops.

What is a trailing stop loss?

A trailing stop loss moves with favorable price movement, locking in profits while allowing for further upside. It adjusts automatically as price moves in your favor.

How tight should my stop loss be?

Stop loss should be tight enough to limit risk but wide enough to avoid being hit by normal market noise. Consider volatility (ATR) and support/resistance levels.

Can I adjust stop loss after entry?

Yes. Move stop loss to breakeven after price moves favorably, or use trailing stops. Avoid widening stop loss, which increases risk.

What if my stop loss is hit too often?

If stop loss is hit frequently, either widen it (if too tight), improve entry timing, or reconsider the trade setup. Frequent stops may indicate poor entry or setup quality.

Should I take partial profits?

Taking partial profits (e.g., 50% at 2:1, 50% at 3:1) can improve overall risk/reward while securing some gains. Useful for managing risk and reducing emotional stress.

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Stop Loss / Take Profit Calculator

Calculate stop loss and take profit levels from entry price, risk amount, and risk/reward ratio for trade management.

How to use Stop Loss / Take Profit Calculator

Step-by-step guide to using the Stop Loss / Take Profit Calculator:

  1. Enter your values. Input the required values in the calculator form
  2. Calculate. The calculator will automatically compute and display your results
  3. Review results. Review the calculated results and any additional information provided

Frequently asked questions

How do I use the Stop Loss / Take Profit Calculator?

Simply enter your values in the input fields and the calculator will automatically compute the results. The Stop Loss / Take Profit Calculator is designed to be user-friendly and provide instant calculations.

Is the Stop Loss / Take Profit Calculator free to use?

Yes, the Stop Loss / Take Profit Calculator is completely free to use. No registration or payment is required.

Can I use this calculator on mobile devices?

Yes, the Stop Loss / Take Profit Calculator is fully responsive and works perfectly on mobile phones, tablets, and desktop computers.

Are the results from Stop Loss / Take Profit Calculator accurate?

Yes, our calculators use standard formulas and are regularly tested for accuracy. However, results should be used for informational purposes and not as a substitute for professional advice.