A ‘Take Profit’ order is intended to lock in profits at a specific price, or to potentially prevent additional losses following a significant gain. Alternatively, you can modify a position and add a take profit at a later date. It can be added to an order at the time of opening. It could likewise be joined to a Pending Order.
On Buy positions, a Take Profit must be positioned above the current market price; on Sell positions, it must be positioned below the current market price. All “Limit” orders, including Take Profit, are carried out using “Limit Execution,” ensuring that you get the price you asked for. Therefore, it is impossible to get a worse price on a “Limit” order like Take Profit. Once the “BID” price hits your take profit level, take profits on long bets will be triggered for execution. Short positions will execute take profits when the “ASK” price reaches your take profit level.