What are Physical Stop-Loss and Take-Profit settings?

Physical Stop-Loss (SL) and Take-Profit (TP) are hard exit thresholds enforced at the system level, independent of strategy signals, trailing mechanisms, or other decision logic. They provide a last line of defense to protect your account and secure profits.

⚙️ How They Work

Physical Stop-Loss (SL)

  • Purpose: Limits losses if the market moves against your position.
  • Configuration Example:
StopLossPercent: 30.0
  • Meaning: Trade automatically closes if the price moves 30% against the entry price.
  • Applies to all trades, including DCA or auto-trades.
  • Acts as a catastrophic loss protection, ensuring positions do not drain your account unexpectedly.

Physical Take-Profit (TP)

  • Purpose: Locks in gains when a trade reaches a target profit.
  • Configuration Example:
TakeProfitPercent: 50.0
  • Meaning: Trade automatically closes when the price reaches 50% gain relative to entry price.
  • Useful for long-term positions or high-volatility trades.
  • Can be combined with partial TP, dynamic trailing, or Smart TP for flexible profit-taking.

⚖️ Why It Matters

  1. Guaranteed Protection

    • Prevents catastrophic losses regardless of strategy misfires.

  2. Consistent Profit Locking

    • Ensures trades exit at predefined profitable levels even if market conditions change rapidly.

  3. System-Level Enforcement

    • Independent of any strategy, alerts, or automated trailing mechanisms.

🚀 Summary

Physical SL/TP are hard, system-enforced exit thresholds:

  • Stop-Loss Percent: Protects against major losses (e.g., 30% below entry)
  • Take-Profit Percent: Locks in profits (e.g., 50% above entry)
  • Applies to all trades, including DCA, auto-trades, and strategy signals
  • Best used alongside Smart SL/TP or dynamic trailing for optimal risk and reward management.

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