How To Close An Existing Stock Position
There are five main ways to close an existing position
- From the chart
- With an order ticket
- Using a trendline
- Using an indicator
- From the Portfolio window
Right click on the position that is on the chart.
Note: this same process can be initiated from the yellow Close button at the bottom of the price pane. A close button will only appear at the top or bottom of a chart when there is current active position on that symbol in the selected trading account.
A. To close the position with a Market order, click Sell To Close {Sym} at Market
Note: this close can also be initiated from the Close {Sym} at Market selection.
Click Place Order button to place the Market order to sell. The order ticket will automatically have the correct position size.
There is now a live Market order to close the position visible on the chart.
The Sell order shows the position size, order type and duration.
B. To close the position with a Limit order, click Sell To Close {Sym}... from the drop down menu
This places a Close Position order ticket on the chart.
Click and drag the limit line (red dashed) to the desired price level.
Click the Sell button
Click Place Order to confirm
There is now a live limit order to close the position visible on the chart.
The Sell order shows the position size, approximate cost of trade, order type, limit level, duration and estimated profit or loss.
Click the Close button at the top of the chart.
A. To close the position with a Market order, click Sell To Close {Sym} at Market
This opens a Close Position standard order ticket pre-filled to the correct position size.
Click Sell {Sym} button to place the Market order to sell.
Click Place Order button to confirm.
There is now a live Market order to close the position visible on the chart.
The Sell order shows the position size, order type and duration.
B. To close the position with a Limit order, click Sell To Close {Sym}... from the drop down menu
This opens a Close Position standard order ticket pre-filled to the correct position size.
Set the limit price using the Limit basis drop down menu.
Using the various fields in the menu, the Limit basis can be set on:
- The Ask (or an offset above/below the Ask);
- The Midpoint between the Bid & Ask;
- The Bid (or an offset above/below the Bid);
- A specific price
- The user-defined default value
Note: the offset spinner is used to set the offset values above or below the Bid/Ask.
The limit basis can be set on either Dollar value or Percentage.
Click the Sell button
Click Place Order to confirm
There is now a live limit order to close the position visible on the chart.
The Sell order shows the position size, approximate cost of trade, order type, limit level, duration and estimated profit or loss.
To close a position using a TrendLine as a trailing stop, click the Close button at the bottom of the price pane.
If you have a trendline drawn on the chart, right click on that trendline and choose Buy Limit from the drop down menu.
From the drop down menu choose Sell to Close {Sym} at Trendline
This initiates a Trendline drawing tool and the AutoTrack feature needed to automatically modify the Trendline order.
Click and drag the mouse to draw the trendline to be used for the closing order
This places a stop order ticket on the chart with the initial order being placed at the price level represented by the trendline under the last bar on the chart.
The trajectory of the trendline into the future will serve as the path up which the order will be automatically modified.
AutoTrack Example--every 60 seconds TC2000 checks to see if the trajectory of the trendline has moved up enough to represent a new price level (even by a penny). If a new price level has been reached, the order is modified to that new price level.
Modify the path of the trendline by clicking and dragging the red dashed line in the projection space. (Optional)
Click the Sell {Sym} button.
Click Place Order to confirm and submit the trendline sell order.
A live sell order now exists on the chart and will automatically modify up the trajectory of the trendline at the selected interval. As long as the price of the stock stays above the price level to which the stop has been modified, the position will remain active. If the stock price moves down and hits the modified stop level, a market order is triggered.
Right click on the Position to liquidate in the Portfolio window.
Choose Close position from the dropdown menu
This opens a Close Position standard order ticket pre-filled to the correct position size.
Click Sell {Sym} button to place the Market order to sell.
Click Place Order button to confirm.
There is now a live Market order to close the position visible on the chart.
The Sell order shows the position size, order type and duration.
Each of these orders uses a Close Position order ticket. A close position order ticket automatically:
- Selects the correct position size for the existing position.
- Places the order on the right side of the market (e.g. a sell-to-close order for a long position; a buy-to-cover order for a short position)
- Places the order in an OCA (one-cancels-call) order group with any other Sell order on that existing position.
The trading tools work on either a LIVE brokerage account or a PAPER (simulated) trading account. Live market trading requires an account with TC2000 Brokerage. Click Here for more.