How to Set Take Profit and Stop Loss

In futures trading, market prices can move quickly. If users rely only on manual monitoring, they may miss the right time to close a position.

Take Profit and Stop Loss can help users set a trading plan in advance. When the price reaches the preset condition, the system will automatically trigger position closing to help users lock in profits or control losses.

Take Profit means that users set a target profit price in advance. When the market price reaches that price, the system will trigger position closing according to the preset rules.

The purpose of Take Profit is to help users lock in profits in time when the market reaches the expected target and avoid profit pullback.

For example:

A user opens a long position when the BTC price is 100,000 USDT.

If the user wants to lock in profits when BTC rises to 105,000 USDT, they can set the Take Profit price at 105,000 USDT.

When the BTC price reaches the preset condition, the system will automatically trigger Take Profit closing.

Simply put:

Take Profit = Automatically lock in profits when the target price is reached.

Stop Loss means that users set a maximum acceptable loss price in advance. When the market price moves against the position and reaches the preset price, the system will trigger position closing according to the preset rules.

The purpose of Stop Loss is to help users control the loss range and prevent losses from expanding further when the market continues to move unfavorably.

For example:

A user opens a long position when the BTC price is 100,000 USDT.

If the user is only willing to accept the risk of BTC falling to 98,000 USDT, they can set the Stop Loss price at 98,000 USDT.

When the BTC price reaches the preset condition, the system will automatically trigger Stop Loss closing.

Simply put:

Stop Loss = Automatically control risk when the preset loss level is reached.

After using leverage in futures trading, price movements will have a greater impact on position profit and loss.

Without setting Take Profit and Stop Loss in advance, users may face the following situations:

Profits are not locked in time, resulting in profit pullback;
Losses are not controlled in time, causing further loss expansion;
The market moves too quickly for manual operation;
Emotional trading affects the original trading plan.

Setting Take Profit and Stop Loss properly can help users manage positions in a more planned way.

Users may consider setting Take Profit in the following situations:

The user already has a clear profit target;
The user wants to lock in profits when the market reaches the expected level;
The user cannot monitor the market for a long time;
Short-term trading requires fast execution of the trading plan;
The user does not want profits to decrease due to market pullback.

Take Profit does not mean users will always capture the highest possible profit. Its main purpose is to help users lock in profits once the target is reached.

Users are advised to set Stop Loss in the following situations:

The user has already determined the maximum acceptable loss before opening a position;
The market is highly volatile and uncertain;
The user cannot monitor market changes in real time;
The user is using relatively high leverage;
The trade is short-term or the market direction is uncertain.

The core purpose of Stop Loss is not to avoid all losses, but to help users keep losses within an acceptable range.

Users can set Take Profit and Stop Loss before opening a position or after holding a position. The actual operation should follow the display on the 100X App.

Common setting methods include:

Set when opening a position:
Users can enter the Take Profit price and Stop Loss price when placing an order. After the order is filled, the corresponding Take Profit and Stop Loss rules will take effect.

Set after opening a position:
Users can find the corresponding position under Current Positions, tap Take Profit / Stop Loss settings, and enter the Take Profit or Stop Loss price according to their trading plan.

After setting, users should confirm whether the trigger price, closing quantity, and trigger method are correct.

Take Profit and Stop Loss are also trading tools based on preset trigger conditions.

When the market price reaches the user’s Take Profit or Stop Loss condition, the system will automatically trigger position closing according to the rules.

Conditional orders can be used for both opening and closing positions.
Take Profit and Stop Loss are mainly used for risk management and profit management of existing positions.

Simply put:

Conditional Order = Trigger an order when the condition is reached.
​Take Profit / Stop Loss = Trigger position closing when the condition is reached.

When setting Take Profit and Stop Loss, users should pay attention to the following points:

After Take Profit or Stop Loss is triggered, the final execution price may be affected by market volatility and order book depth;
A market trigger may execute quickly, but the execution price may differ from the trigger price;
A limit trigger can help control the execution price, but it may not be filled immediately;
During sharp market movements, the final order execution result shall be subject to the system’s actual execution;
Users should set the Take Profit and Stop Loss prices correctly according to the position direction.

Before setting them, users are advised to carefully confirm the price direction to avoid setting the Take Profit or Stop Loss price incorrectly.

Assume the current BTC price is 100,000 USDT, and the user opens a long position.

The user believes that BTC reaching 105,000 USDT would meet the expected profit target, so they set the Take Profit price at 105,000 USDT.

At the same time, the user believes that if BTC falls to 98,000 USDT, the market no longer matches the original expectation, so they set the Stop Loss price at 98,000 USDT.

In this way, when BTC reaches either the Take Profit or Stop Loss condition, the system will automatically trigger position closing according to the settings and help the user execute the trading plan.

Take Profit and Stop Loss can help users manage position risk, but they cannot completely eliminate trading risks.

During fast market movements, insufficient market depth, or extreme market conditions, the final execution price may differ from the trigger price. Users should set Take Profit and Stop Loss reasonably based on their own risk tolerance, and continue to monitor position margin, liquidation price, and market volatility.

Futures trading is a high-risk trading product. Users should fully understand the relevant rules and risks before trading.