Take profit (TP) is an order that closes your position once it reaches a certain level of profit.
Stop Loss (SL) is designed to be an exit order strategy to limit the amount of losses for a position.
When the selected reference price reaches the Take Profit/Stop Loss price, the position will be closed immediately.
There are 3 ways to set up a TP/SL Order, namely:
1) Setup when submitting an open position order (Limit, Market, Conditional order)
- One-click setup on order confirmation window
- TP/SL set will be applied to entire order.
- Can be configured to be triggered by Last Traded Price (Last), Index Price (Index) or Mark Price (Mark)
- Please note that for limit and conditional order, the TP/SL will be placed into system only when the underlying limit/conditional order is executed.
When trader wants to increase the contracts quantity of an Existing Position, - Under the TP/SL on entire position mode, new TP/SL set on the new order will replace the existing position TP/SL price after the new order is executed.
- Under the TP/SL on selected position mode, TP/SL set on the new order will correspond to the number of the increased contract after the new order is executed, and it will exist independently on the position.
2) Setup on the open position tab
- One-click setup on open position tab
- Can be configured to be triggered by Last Traded Price (Last), Index Price (Index) or Mark Price (Mark)
- If trader wants to set TP/SL for partial position, trader can change their TP/SL mode to TP/SL on selected position mode from the settings window. Otherwise, TP/SL will apply to the entire position under TP/SL on entire position mode.
- To set TP/SL on selected position, please refer to Bybit user guide - Bybit enhanced take profit and stop loss
3) Setup using the Conditional Limit/Market Order
- Setup order in the opposite direction against an open position
- Can be executed as a limit or market order once the selected reference price hits Trigger Price
- For conditional orders intended for closing positions, please select the Close on Trigger option to ensure that it can still be executed regardless of margin requirements.
4) Submit Take profit order by "Close by Limit" (Not Applicable for Stop Loss)
For take profit order, trader can also setup using a limit order via the Close by Limit function
- Click on the 'Limit' button inside the open position tab
- Will be executed as a Take Profit limit order once the last traded price hits order price
