Exchange Currency

protective stop

An action taken to reduce potential losses due to dramatic changes in the price of a stock or other security, by specifying conditions in advance that will halt trading of the security. Stop-loss or stop-limit orders can be used to implement a protective stop strategy, by halting any trades above or below pre-specified price ranges.

Related information about protective stop:
  1. Protective Stop Definition | Investopedia
    A strategy designed to protect existing gains or thwart further losses by means of a stop-loss order or limit order. A protective stop is set to activate at a certain ...
     
  2. Protective Stop Definition & Example | InvestingAnswers
    We explain the definition of Protective Stop, provide a clear example of how it works and explain why it's an important concept in business, finance & investing.
     
  3. Protective Stop - Financial Dictionary - The Free Dictionary
    An investment strategy designed to limit losses on a security by means of setting up a stop-loss order or stop-limit order. For example, a protective stop may ...
     
  4. Protective Stops - What Are These?
    Protective stops are intended to prevent excessive losses. Normally, a protective stop is set to prevent a new trade losing more than the limit set by the trader.
     
  5. Never Trade Without a Protective Stop | DailyFX
    Feb 15, 2010 ... After having identified your entry on a new trade, the next step should always be to identify the price level for your protective stop.
     
  6. What is protective stop? definition and meaning
    Definition of protective stop: An action taken to reduce potential losses due to dramatic changes in the price of a stock or other security, by specifying conditions ...
     
  7. Protective stop analysis for our Select Equity model - Smarter Investing
    May 15, 2012 ... Author: Clinch Capital. Covestor model: Select Equity. The recent market weakness has focused my attention on the protective stops we use in ...
     
  8. Protective Stop | SaferTrader
    Sep 17, 2010 ... Okay, perhaps the title is a bit over the top. But, if it gets your attention – for real – it's worth it. Most investors – especially conservative ones like ...