What are stop loss orders and how to use them?

A Stop-Loss order is a buy/sell instruction designed to minimize potential losses in case of adverse market movements. Let’s break it down: if you’ve bought a stock at ₹200 and want to limit your loss to ₹195, you can set a Stop-Loss order to automatically sell the stock when its price hits ₹195. The primary purpose of this order is to prevent losses from surpassing your predetermined risk level.

What are the two types of Stop-Loss orders offered by TradeJini?

SL Order (Stop-Loss Limit): This order involves two prices – the set price and the trigger price. The stock is sold when the market price reaches the set price after hitting the trigger price.

SL-M Order (Stop-Loss Market): With this order, only the trigger price is considered. The stock is sold at the best available market price once the trigger price is reached.