What is a Trailing Stop Order?

Like a stop order, a trailing stop order is triggered when the stop price is reached and is executed as a market order. The stop price adjusts accordingly by a specified percentage or amount when the market price moves in a favourable direction.

When placing a trailing stop order, a trail amount or percentage needs to be set. To do so, tap the "%" or "$" symbol to switch between trail amount and trail percentage (shown in the picture below). The stop price is the trail amount or percentage above (in a buy order) or below (in a sell order) the current market price.

For a buy trailing stop order, the stop price will follow when the market price goes down. But the stop price will not move when the market price goes up. The order will be triggered and executed when the market price rises to the stop price or higher.

For a sell trailing stop order, the stop price will follow when the market price goes up. But the stop price will not move when the market price goes down. The order will be triggered and executed when the market price falls to the stop price or lower.

Note:

1. Trailing stop orders are only supported during regular trading hours.

2. Trailing stop orders expire at the end of each trading day. If your order is not filled, you need to place the order again on the following trading day.