What is a Stop Loss order?

A stop-loss order is placed to buy or sell a stock when it reaches a specified price. It serves as a risk management tool, primarily intended to limit losses on a stock already in your portfolio.

The price set in the stop-loss order represents the maximum acceptable risk for that stock. This order can be either a limit order or a market order.

How to place a Stop Loss order ?

Step 1: Log in to your Upstox account.

Step 2: Select the stock you want to trade.

Step 3: To initiate a stop-loss limit order, follow these steps:

• Click on ‘+ Stop-loss’.

• Click on the Switcher to switch from Market to Limit.

• Specify the desired 'Price,' indicating the level at which you want the order to be executed.

• Enter the 'Trigger Price,' which serves as the activation point for the order.

Step 4: To place a stop-loss market order, you need to click on ‘+ Stop-loss’ and enter the 'Trigger Price'.