A Stop Out is an automatic protection feature in the Libertex platform. When a trade loses too much, the system closes it for you — automatically — to help prevent further losses.
How does a stop out work?
The Stop Out level is a percentage of your initial investment in a trade. If your losses reach that level, your position is automatically closed.
What’s the stop out level in Libertex?
It depends on the type of instrument you're trading:
🔹 For all instruments (except stocks):
The Stop Out level is 10%
That means if your trade loses 90% of the initial amount, it will be closed automatically
👉 Example:
If you invested $100 and the value drops to $10, the position will be closed.
When trading stocks:
The Stop Out level is 20%
So if you lose 80% of your initial investment, the trade will be closed automatically
👉 Example:
If you invested $100 in a stock and its value drops to $20 or less, the position will be closed.
What should you keep in mind?
The position is closed at the first available price, which means the final result might differ from the one you'd get with a manual Stop Loss.
You can’t avoid a Stop Out once the loss limit is reached.
It's always a good idea to set your own Stop Loss to stay in control of your trades.
Pro tip
To reduce risk, manage your capital carefully and diversify your investments. Remember: leverage can increase both your profits and your losses.