Trade Exit Logic: Limit Take-Profit, Trailing Stop, and Profit Stop-Loss

The ST Bot uses three mechanisms to close positions. Their purpose is to capture profit efficiently while adapting to market conditions and price behavior.

Nov. 15, 2025, 10:12 a.m.
Bot Settings
Trade Exit Logic: Limit Take-Profit, Trailing Stop, and Profit Stop-Loss

The ST Bot uses three mechanisms to close positions. Their purpose is to capture profit efficiently while adapting to market conditions and price behavior.


1. Limit Take-Profit

A limit take-profit order is placed immediately when the position opens at a fixed distance from the entry.

When the price reaches this level, the trade closes with a limit order, avoiding unnecessary slippage.

Each market phase may have its own take-profit distance.

For example:

  • Bull — 1.0%
  • Neutral — 1.2%
  • Bear — 1.5%

The bot detects the current market sentiment and places the limit take profit at that distance from the entry price.

2. Trailing Stop

The trailing stop activates once the price reaches the configured profit threshold.

Then it operates as a dynamic stop:

  • Price moves in profit → the stop trails upward,
  • Price reverses → the stop stays in place and closes the trade in profit.

Trailing allows capturing extended moves beyond the static take-profit.

Configurable:

  • activation percentage (e.g., +1.5%),
  • trailing distance (e.g., 0.3%).

3. Profit Stop-Loss

This protection activates when the trade reaches the configured profit level.

The bot places a stop-loss above the entry price, locking the position into guaranteed profit.

Example:

At +1% profit, a stop may be placed at +0.3% — preventing the trade from returning to loss.

How all three mechanisms interact

  1. A limit TP is placed immediately after entry.
  2. If price moves further, the trailing stop activates.
  3. If enabled, the positive SL adds an additional layer of safety.

This system ensures the bot captures strong trends while still protecting accumulated profit.

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