Stop-loss

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February 1, 2012 By: , No Comments

a way of limiting losses on shares or spread bets. You simply tell your broker or spread betting company that if a share price falls to a certain level, your shares or your spread bet must be sold, no matter what. A stop-loss can specified in percentage terms or in price terms. For example, you can either set the stop loss at 10 per cent below the price you paid, or at 90p if you bought at 100p.

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