SaviCoin Trailing Take Profit and Stop Loss Feature Description

To help users manage risk and profits more flexibly, SaviCoin has launched the trailing take profit and stop loss feature.

Trailing take profit and stop loss is an intelligent closing mechanism that dynamically tracks market price changes. It automatically expands profit space when the market moves favorably and executes closing orders when the market experiences adverse fluctuations, helping users achieve "automatic profit locking" and "dynamic risk control."

Users are advised to fully understand the triggering logic and risk mechanisms of trailing take profit and stop loss before use.

1. What is Trailing Take Profit and Stop Loss?

Trailing take profit and stop loss means:

When the market price reaches the activation condition set by the user, the system will dynamically track the market price according to a preset retracement ratio.

When the price moves in a favorable direction: the system will automatically update the take profit and stop loss price.

When the market price moves in the opposite direction and reaches the retracement ratio set by the user: the system will automatically submit a market order to close the position.

Compared with traditional fixed take profit and stop loss, trailing take profit and stop loss features dynamic adjustment, automatic profit locking, reduced manual monitoring, and trend-following profit expansion.

2. Core Logic of Trailing Take Profit and Stop Loss

Trailing take profit and stop loss applies only to closing orders for existing positions.

It does not apply to opening new positions directly.

The core logic is as follows:

1. Activation Mechanism

The system only officially starts trailing take profit and stop loss tracking when the market price reaches the activation price set by the user.

2. Dynamic Tracking Mechanism

When the market continues to move favorably:

The system will automatically update the latest trailing take profit and stop loss price.

That is: price rises → long position take profit price moves up synchronously

Price falls → short position take profit price moves down synchronously

3. Retracement Trigger Mechanism

When the market price moves in the opposite direction from the highest price (long position) or lowest price (short position):

and the retracement reaches the user-set ratio: the system will automatically submit a market order to close the position.

This is used to lock in profits, control drawdowns, and reduce risk from expanding losses.

3. Explanation of Key Parameters
 

4. Execution Mechanism of Trailing Take Profit and Stop Loss

1. In the case of long positions (bullish)

Trailing take profit and stop loss for long positions is suitable for users holding long positions who wish to:

continuously expand profit space during a rising market.

Execution logic

Users need to set: activation price > current market price

When the market price reaches the activation price: the system officially starts tracking.

If the market continues to rise: the trailing take profit and stop loss price will move up synchronously.

The system records: the latest highest price.

It automatically calculates the latest trailing take profit and stop loss price based on the retracement rate.

Long position retracement trigger

When the market price starts to fall from the highest point and the retracement reaches the preset ratio: the system will immediately submit a market sell order to close the position.

Example

Current BTC price: 30,000 USDT

User sets: activation price: 31,000 USDT, retracement rate: 5%

When BTC rises to: 35,000 USDT, the system automatically calculates:

35,000 × (1 - 5%) = 33,250 USDT

At this time: 33,250 USDT is the latest trailing take profit and stop loss price.

If the market subsequently falls to: 33,250 USDT, the system will automatically close the position by market sell order.

2. In the case of short positions (bearish)

Trailing take profit and stop loss for short positions is suitable for users holding short positions who wish to:

continuously expand profit space during a falling market.

Execution logic

Users need to set: activation price < current market price

When the market price falls to the activation price: the system officially starts tracking.

If the market continues to fall: the trailing take profit and stop loss price will move down synchronously. The system records: the latest lowest price. It automatically calculates the latest trailing take profit and stop loss price based on the retracement rate.

Short position rebound trigger

When the market price starts to rebound from the lowest point and the rebound reaches the preset ratio, the system will immediately submit a market buy order to close the position.

Example

Current BTC price: 35,000 USDT

User holds a short position. User sets: activation price: 32,000 USDT, retracement rate: 5%

When BTC falls to: 31,000 USDT, the system automatically calculates:

31,000 × (1 + 5%) = 32,550 USDT

At this time: 32,550 USDT is the latest trailing take profit and stop loss price.

If the market subsequently rebounds to: 32,550 USDT, the system will automatically close the position by market buy order.

5. Conditions for Trailing Take Profit and Stop Loss to Take Effect

Trailing take profit and stop loss must meet both of the following conditions simultaneously:

Condition One:

Market price reaches the activation price.

Condition Two:

Market price moves in the opposite direction and reaches the set retracement rate. Only when both conditions are met will the system automatically submit a market order to close the position.

6. Differences from Regular Take Profit and Stop Loss
 

Risk Warning

If the retracement rate is too low: normal market fluctuations may trigger premature closing.

This may lead to early take profit. If the retracement rate is too high, it may fail to lock in profits timely. In the case of sharp market reversals,

it may increase losses.

7. Advantages of Use

Automatic Profit Locking

When prices continue to rise or fall, the system automatically updates the take profit price, helping users secure existing profits.

Reduces Monitoring Pressure

No need for long periods of manual monitoring. The system automatically executes trading logic.

Suitable for:

Users who cannot monitor the market for extended periods.

Improves Trend Trading Efficiency

In trending markets, it helps users capture as much profit as possible.

More Flexible Risk Control

Can be used together with regular take profit and stop loss to enhance overall trading strategy flexibility.

8. Risk Warning

Digital asset contract trading carries high risk and high volatility. Although trailing take profit and stop loss can help users:

dynamically lock in profits and control risks, it cannot guarantee 100% execution at the expected price. In extreme market conditions,

risks such as slippage, price gaps, and execution delays may occur.

Please set activation price and retracement rate reasonably according to your risk tolerance, position size, and market conditions. Trade rationally and pay attention to risks.