Through trailing stop, the stop-loss price can be continuously adjusted with the increase of profit. Even if the price suddenly turns in the opposite direction

The untracked stop loss changed from floating profit to real loss.

You can also close your position and lock in profits in time. It is very annoying and unacceptable for a floating profit list to become a loss list. The figure on the right shows the list of trading robots that automatically trade according to the highly optimized CCI index. When shorting at the starting point, there is at most a floating profit of 1500 points. Because there is no trailing stop, there are more than 480 floating losses when closing positions. If there is trailing stop, it will not change from a floating profit to a loss.

Trailing stop's way, even if the price moves in the opposite direction, can lock in the loss. In fact, many times it is not a loss, but a little less. However, as long as the price does not reverse to your stop loss, but remains profitable, then trailing stop will constantly modify the trading order and improve the profit level of the stop loss. Spot gold rose by $5, and my stop loss was $3, so I made a profit of 30%. It went up by 10, and my stop loss was set at $8, with a profit of 80%.