Investing Strategy That Could Save You Thousands #024

Support The Podcast & Join The Conversation On Our Private Discord Chat: https://www.patreon.com/averagemoneyThe Beginners Guide To Trading Options!! https://averagemoney.teachable.com Voice Mail Link: https://www.speakpipe.com/AverageMoney?fbclid=IwAR1N1H5y33uqAf2GoL4ob6glEHzLMxU14Sy6Uhw0YbGyj30E84YvLhrUcl8 Full Video Of This Episode On Our YouTube Channel! https://www.youtube.com/channel/UCouWgQ9TLXsSkZ32lSZhDmgRecorded Saturday January SecondThis question comes in from Jacob. Jacob wanted to know how we utilize and employ trailing stop limits as well as limit orders on our stock purchases, and options trades. What is a stop loss?A stop-loss order is an order placed with a broker to buy or sell a security when it reaches a certain price. Stop-loss orders are designed to limit an investor’s loss on a position in a security and are different from stop limit orders. When a stock falls below the stop price the order becomes a and it executes at the next available price. For example, a trader may buy a stock and places a stop-loss order 10% below the purchase price. Should the stock drop, the stop-loss order would be activated, and the stock would be sold as a market order. Thanks so much for your question JacobCheers!