How to add or remove a stop loss on Bybit? A position modification tutorial.

Understanding Stop Loss on Bybit

1. A stop loss is a risk management tool used by traders to limit potential losses on a position. On Bybit, this feature allows users to automatically close a trade when the market reaches a specified price level. This functionality is especially valuable in volatile markets where rapid price swings can lead to significant drawdowns.

2. Bybit supports both long and short positions with customizable stop loss settings. Traders can set these parameters at the time of opening a position or modify them after entry. The platform offers flexibility in how the stop loss is triggered—either based on the last traded price or the mark price, which helps avoid liquidation due to temporary price spikes.

3. To access stop loss settings, users must be on the trading interface for either perpetual or futures contracts. Once a position is open, the “Positions” section displays current holdings along with options to adjust take profit and stop loss levels directly from the dashboard.

4. It’s important to note that setting a stop loss does not guarantee execution at the exact price, particularly during periods of high volatility or low liquidity. Slippage may occur, but Bybit’s matching engine aims to fill orders as close to the trigger price as possible.

5. Traders should always confirm whether their stop loss is set in 'Limit' or 'Market' mode, as this affects how the order executes upon triggering. Market orders typically ensure faster execution but may result in slightly worse prices under extreme conditions.

Adding a Stop Loss to an Existing Position

1. Navigate to the “Derivatives” section on Bybit and select the appropriate contract type—such as USDT-margined perpetuals. Locate your active position in the “Positions” tab displayed at the bottom of the trading interface.

2. Click on the “More” button next to your open position. A dropdown menu will appear with several options, including “Modify Order.” Selecting this opens a configuration panel where you can input your desired stop loss price.

3. Enter the price level at which you want the stop loss to activate. Alternatively, some versions of the interface allow you to set it as a percentage away from the current market price. Ensure the value falls within allowable bounds defined by the system.

4. Choose between using the last price or mark price as the reference for triggering the stop loss. Using mark price prevents manipulation from short-lived wicks or flash crashes. Confirm your selection by clicking “Set” or “Confirm,” depending on the UI version.

5. After submission, verify that the stop loss appears correctly in the position details row. If no value is shown, the request may have failed due to incorrect input or network issues.

Removing or Disabling a Stop Loss

1. Open the same “Positions” section where your active trade is listed. Find the entry corresponding to the position currently protected by a stop loss order.

2. Look for the existing stop loss price displayed in the relevant column. If a value is present, click the “X” icon or “Edit” option beside it. Some interfaces require clicking “Modify Order” again to access removal functions.

3. In the pop-up window, clear the field containing the stop loss price or explicitly choose the option labeled “Remove” or “Disable.” Avoid leaving invalid characters or blank fields unintentionally.

4. Confirm the change by pressing the update button. The system will process the request and refresh the position status. Upon success, the stop loss field should show “-” or remain empty.

5. Always double-check the updated position summary to ensure the stop loss has been fully removed before assuming it’s inactive. Residual data might linger temporarily due to caching delays.

Frequently Asked Questions

Can I set a stop loss when placing a new order?Yes, Bybit allows traders to configure stop loss (and take profit) levels directly within the order placement form. These settings can be adjusted before confirming the trade.

What happens if my stop loss triggers but the position doesn’t close?This usually indicates an issue with order execution, possibly due to insufficient margin or extreme market gaps. Check your account balance and recent order history for error messages related to liquidation or failed closures.

Is there a difference between stop loss and conditional orders on Bybit?Yes. A stop loss is tied directly to an open position and serves as a protective exit. Conditional orders are standalone entries or exits that activate when certain criteria are met, independent of current holdings.

Does Bybit charge fees for stop loss orders?No, Bybit does not charge additional fees for setting or canceling stop loss orders. Execution fees follow standard taker rates only if the stop loss closes the position via a market order.