In many cases, investors wish to hedge against losses without realizing gains and paying tax--if that is the case, stop-loss orders
are generally not a viable choice of strategy.
That stop-loss order
affected about 250 Edwards airmen.
Were it not for the stealth conscription of tens of thousands of volunteer servicemen through stop-loss orders
, the Army would face a severe manpower shortage.
If the stock keeps moving up, you can keep increasing your stop-loss order
Corrections took place in over-sold markets, which in turn saw stop-loss orders
from the shorts being hit as prices rose.
As such, investors may choose to place stop-loss orders
on their investments, signaling that they're only willing to lose a certain percentage.
30, its lowest since July 12, as stop-loss orders
were triggered in thin market conditions, by what some market participants speculate might have been a trading mistake.
While stop-loss orders
were intended to offer a measure of protection, they in fact made it worse on both occasions.
The Fool responds: While some do like to set stop-loss orders
to protect against price drops, others avoid them because stocks sometimes just plunge and then recover and go on to reach new highs.
Finally, the banks attempted to trigger stop-loss orders
with clients to boost profits.
According to traders stop-loss orders
-- automatic sale orders placed at pre-set levels to limit losses -- were triggered when gold was sitting on the edge of $1,200.
Traders said stop-loss orders
were triggered when gold was sitting on the edge of $1,200.