📉Stop Loss Strategies

Oracle supports multiple stop loss strategies to help you protect capital while aiming for optimal profit. This section explains each option in detail and shows how to integrate them into your position management settings.

Impact on Statistics

• Partial exits typically increase the total trade count.

• Win rates can improve (securing partial profits), but average profit per trade may decrease.

• More balanced risk profile by locking in gains early.

Stop Loss Strategies

1. Hardset (No Adjustment) The stop loss remains fixed at its original level throughout the trade.

• Best for Traders who prefer strict adherence to initial risk parameters.

• How It Works

  1. When you enter a trade, the stop loss is set based on your technical analysis (e.g., a key support/resistance level).

  2. The stop loss never changes, regardless of how price moves.

  3. The trade will exit at this level if price reaches it, or at your chosen take profit level.

2. Move to Break-Even at TP1 Automatically moves your stop loss to the entry price once the first take profit (TP1) is reached.

• Best for Traders who want to reduce or eliminate risk quickly after securing initial gains.

• How It Works

  1. Begin with your standard stop loss below (for a Long) or above (for a Short) the entry.

  2. When price hits TP1, the system adjusts your stop loss to the entry price.

  3. If price reverses after hitting TP1, the worst-case outcome is a break-even exit rather than a loss.

3. Move to Break-Even at TP2 Automatically moves your stop loss to the entry price once the second take profit (TP2) is reached.

• Best for Traders comfortable with the original risk until the trade makes a larger move.

• How It Works

  1. Begin with your standard stop loss below/above the entry.

  2. The stop loss does not change if TP1 is hit; it remains at the original level until TP2 is reached.

  3. Once TP2 is reached, the stop loss moves to the entry price, protecting the trade from a full reversal.

4. Progressive Trailing (BE → TP1)

• Description A two-stage trailing stop loss that locks in more profit as the price moves in your favor.

• Best for Traders seeking to maximize profit protection while still allowing for larger price moves.

• How It Works

  1. Stage 1: When price reaches TP1, the stop loss moves to your entry price (break-even).

  2. Stage 2: Once price hits TP2, the stop loss then moves up to TP1.

  3. If price reverses after hitting TP2, you still secure profits equivalent to TP1 rather than just breaking even.

• Advantages

  • Protects capital while locking in progressively more profit.

  • Offers a more sophisticated trailing approach that adapts to significant price moves.

  • Allows partial profit capture if the market makes a large move and then reverses.