Similarly, for a short position that has become very profitable, you may move your stop-buy order from loss to the profit zone in order to protect your gain.

FORBES: How To Place Orders With A Forex Broker

For a long position that has become very profitable, you may move your stop-sell order from the loss to the profit zone to safeguard against the chance of realizing a loss in case your trade does not reach your specified profit objective, and the market turns against your trade.

FORBES: How To Place Orders With A Forex Broker

Further, as he puts on a trade, he tries to place a stop-loss order that kicks him out of the market should prices move against him.

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There are no perfect answers, but one of the better ideas I've seen is simply to set up a stop-loss order.

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Once your trade becomes profitable, you may shift your stop-loss order in the profitable direction so as to protect some of your profit.

FORBES: How To Place Orders With A Forex Broker

To read more, see The Stop-Loss Order: Make Sure Your Use It, A Logical Method Of Stop Placement and Trailing-Stop Techniques.

FORBES: How To Place Orders With A Forex Broker

To limit damage, Ansbacher installed a stop-loss order.

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One of the most effective ways of limiting your losses is through a predetermined stop order, which is commonly referred to as a stop-loss.

FORBES: How To Place Orders With A Forex Broker