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Can Stoploss stop weekend-gap?

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Kwok Fung Chan
1593
Kwok Fung Chan  
If i place a trade and a stoploss with it on Friday, what will happen on monday if the weekend gap goes over my stoploss?
honest_knave
Moderator
2293
honest_knave  

SL and TP are stop orders. That means that once price crosses them, they effectively become market orders and filled at the best available price.

Example:

Your SL is 10 pips below Friday Close

Market gaps down 20 pips at Monday Open.

You will be closed out at -20 pips.

whroeder1
16572
whroeder1  
When a stop is triggered it becomes a market order and will be filled at current available price. Except if you have a broker that guarantees stops (they are rare, cost more, but they do exist.)
Kwok Fung Chan
1593
Kwok Fung Chan  
honest_knave:

SL and TP are stop orders. That means that once price crosses them, they effectively become market orders and filled at the best available price.

Example:

Your SL is 10 pips below Friday Close

Market gaps down 20 pips at Monday Open.

You will be closed out at -20 pips.

so my order will be close at market open-price on monday?
Kwok Fung Chan
1593
Kwok Fung Chan  
whroeder1:
When a stop is triggered it becomes a market order and will be filled at current available price. Except if you have a broker that guarantees stops (they are rare, cost more, but they do exist.)
what is guaranteed stops and can ecn broker have this?
honest_knave
Moderator
2293
honest_knave  
Kwok Fung Chan:
so my order will be close at market open-price on monday?
Yes
Kwok Fung Chan
1593
Kwok Fung Chan  
honest_knave:
Yes
okay i am clear now thanks
honest_knave
Moderator
2293
honest_knave  
Kwok Fung Chan:
okay i am clear now thanks
I'm glad we helped.
Alain Verleyen
Moderator
33807
Alain Verleyen  
Kwok Fung Chan:
what is guaranteed stops and can ecn broker have this?
No way, could only be provided by market makers.
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