b9_1155what is stop distance?
the distance, in %, from the entry price to the stop.
a wider stop means a smaller position for the same risk amount; a tighter stop means a bigger one.
related words
- stop-loss (stop) a planned exit price where a losing trade is closed.
- stop-market order a stop that turns into a market order when triggered.
- risk amount the money you are willing to lose on one trade if the stop fills as planned (account × risk %).
part of the topic risk: free articles, more words and the guide.
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