Why did my order close beyond the specified stop loss (S/L) price or take profit (T/P) price?
Orders may close beyond the preset stop loss (S/L) price or take profit (T/P) price due to market conditions and slippage. While these orders are designed to limit losses and lock in profits, please note the following:
- Stop loss: A stop loss is intended to limit losses, but during periods of high volatility, low liquidity, or if there are not enough buyers or sellers at the specified level, the expected S/L price may not be available. As a result, your order may close at a less favorable price than expected.
- Take profit: A take profit is designed to attempt to lock in profits when the market reaches a specified price. However, if the market doesn’t reach your preset T/P price or moves slowly, the order may close at a different price than anticipated. Factors such as high volatility and low liquidity can affect execution. In some cases, if the market has a better price available when the order closes, this is considered positive slippage.
