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How Can Stop-Loss Orders Help You?

A stop-loss order is a simple tool, yet so many investors fail to use it. Whether to prevent excessive losses or to lock in profits, nearly all investing styles can benefit from this trade. Think of a stop loss as an insurance policy: you hope you never have to use it, but it's good to know you have the protection should you need it.
Source: http://www.investopedia.com/articles/stocks/09/use-stop-loss.asp