why SL executed below loss?

<p>Stop-loss orders protect investors from losing money when a security's price drops. As an example, a trader may buy a stock and place a stop-loss order 10 percent below its purchase price. As soon as the price drops, the stop-loss order is activated, and the stock is sold on the market.</p>

<p>There are many theories about how to place a stop-loss. Technical traders are always looking for ways to time the market, and different stop or limit orders can be used based on the type of timing technique being used. There are theories that use universal placements, such as 6% trailing stops, and theories that use security- or pattern-specific placements, such as average true range percentage stops.</p>

<p>A stop-loss order is designed to limit an investor's loss on a security position. However, in fast-moving markets, the price of a security may move quickly and your stop-loss order may be executed at a price that is lower than the specified stop-loss price, resulting in a greater loss than intended. This can happen due to market volatility, low liquidity, and other factors. It is important to carefully consider the placement of stop-loss orders and to regularly monitor your positions.</p>

<p>The execution of a stop loss order below the set loss level in forex trading can be attributed to market gaps, slippage, and other factors like spread widening and technical issues with brokerage platforms. Traders seeking to minimize this risk should opt for reliable and well-regulated brokers, stay informed about market conditions and news events, consider using guaranteed Stop loss orders if available, and practice prudent position sizing to manage their risk exposure effectively.</p>

<p>Both Stop Loss and Take Profit orders are you as a trader telling your broker when to close your trades. A stop-loss is designed to let your broker know how much you are willing to risk with your trade. A take-profit is pretty much the exact opposite. It tells your broker how much you are willing to make as a profit with one trade and close it once you’re happy with the amount. &nbsp;&nbsp;</p><p>Both stop loss and take profit options are tools that can be used on the trading software you will be using with your brokerage. Almost every single one of them has it. But if it doesn’t you may check with your service provider since the tool is very important. &nbsp;&nbsp;</p><p>Both stop loss and take profit orders may seem very easy at one glance. You simply take a look at how much you are willing to lose or gain and set them accordingly, right? Well, technically yes. But if you don’t research how to take profits in trading, you will likely miss out on the majority of gains.</p>