Sell Stop Order
A basic Sell Stop order works like this: AUY stock is trading at $3.77. You are long, and Wanderer has given a stop price of $3.56. You place a Sell Stop to trigger at $3.56. If the stock hits $3.56 (either actually making a trade at that price, or being offered at that price) your stop is considered triggered. Your brokerage then immediately issues a “sell at the market” order. This may very well get you filled at $3.56 in a high volume stock, but might mean you don’t get filled until $3.55 or $3.54 in a less liquid stock.