> For the complete documentation index, see [llms.txt](https://docs.abot.dog/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.abot.dog/trade-monitor/trailing-stoploss.md).

# Trailing Stoploss

Trailing stoploss is a more advanced version of sell-lo that allows the bot to slowly increase the stoploss as the token’s *P/L* increases. This aims to protect gains in situations where the token enjoyed a pump, but the pump wasn’t enough to trigger the sell-hi, also known as the take profit threshold. Consider the following example: the user’s sell-hi (or take profit) is set to +200%, which is 3x, and their sell-lo to -40%. The token’s P/L reaches a maximum of +190%, and then starts going down and never recovers. The following scenarios can unveil:

* Without trailing stoploss, the bot will not autosell until the token goes all the way down to -40% again, which means that the user would’ve missed out on gains, and instead ended up with losses.
* With trailing stoploss enabled, the bot will continuously adjust the stoploss based on the max P/L reached by the token at the time. Since the token reached a maximum of +190%, the bot would’ve adjusted the sell-lo from -40% to +74%. With this sell-lo, the bot gives the token enough leeway to recover while securing profits in the event that the token fully dies.

For the mathematically inclined, trailing stoploss calculates the new sell-lo according to the following formula:

> $$\text{New Sell-lo}% = \left(100%+\text{Starting Sell-lo %}\right)\*(100%+\text{Max P/L}%) - 100%\\$$.

Please keep the following in mind when using trailing stoploss:

* Trailing stoploss will **continuously** adjust the sell-lo. As long as the *P/L* keeps increasing to new record highs on the monitor, expect your sell-lo (or stoploss) to rise with it. The bot will always use the highest *P/L* recorded on the token’s monitor to calculate the new sell-lo. Trailing stoploss can only increase sell-lo. It can never decrease it, as that defeats the purpose.
* Trailing stoploss will **never** adjust your sell-hi. It only targets your sell-lo.
* If you activate trailing on the Trade Monitor AFTER a trade, then the bot will simply start trailing from your current sell-lo.
* **If you don’t like the stoploss value that trailing stoploss calculated for you, you can simply change it, and the bot will re-calibrate in the background. Whatever value you put in will be considered as the *****New Sell-lo*****, and the bot will calculate the *****Starting Sell-lo***** that would match it using the above formula. However, setting a new stoploss value while *****Trailing***** is already enabled resets the recorded maximum *****P/L***** on the monitor. The user’s *****P/L***** at the time of setting a new value will be considered the new maximum, and any increases in that will yield increases in the stoploss as well.**