How do I calculate stop out order?

My broker had stop my losing order so I’m guessing this is called a stop out order.
How would I calculate my stop order and is there a way to increase it to go further?

There are usually two possible reasons why your trade gets stopped out - either price hit your stop-loss or the trade lost so much money that, taking into account margin, it exceeded the capital allowed to be used per trade.

In general, protect your capital by always setting a stop-loss order and do not let the losses in the trade cause a margin closure - this will cost you more money and run down your account very quickly.

Its standard to set your stop-loss order either where, if price reaches it, it shows your original idea for this trade is now wrong. Once you have the stop-loss price, adjust the size of the position so that if your stop is hit, you will only lose a small amount of your capital, a lot of people say 1% or 2%.

If I stayed a little longer I would have profited. Went down 200 pips according to the crosshair info and went up 500. So my guess is that I need lots of margin.

We can’t really help you without some further information - but the alternative to “bigger margin” is really “smaller bet size” - However it sounds as tho’ you’ve been trading without a stop - loss !

Bad move unless you are EXPERT !

Have you been through the “babypips school” ?

Please do that - it really does help you to understand what you are gambling on and some information on how it all works :sunglasses:

To properly account for volatility in the market, I suggest finding the average true range ATR to determine how many PIP’s the currency pair moves on average. Multiply that ATR by 1.5 and subtract or add that number to the current price depending on your position (short or long).

Example ATR = 0.0050 (fifty PIPs), EUR/USD = 0.5555

50 x 1.5 = 75 pips

If your position is long then set stop loss to 0.5555 - 0.0075 = 0.5480

If your position is short then set stop loss = 0.5555 + 0.0075 = 0.5630

This is how I calculate my stop losses, although I am out usually out of a position before it is trigger.

Falstaff nailed it. You need smaller position size so if your stop loss is at 200 pips, it’s only the 1-2% of your total account.
Alternatively, you could take the larger position with a stop of 100 pips and when it’s broken, put in a stop order(or an alert) to reenter as it comes back through your original stop loss. In your example, you would have loss the 100 pips, and got back in when it came back through for +400.

I did not put a stop loss for this purpose because I know it will go down about 200 pips and go back up. What I’ve should have done was a buy limit right.
But anyways I think I should have started of with more money.
Thanks