Stop Loss (Mechanical)

A stop loss is not a barrier and not protection in any inherent sense. It is a dormant instruction: if price reaches this level, execute a market order immediately. When it triggers, it becomes aggression — buying or selling at whatever price is currently available. This means the fill is not guaranteed at the stop price, particularly when many stops trigger simultaneously at the same obvious level. Understanding what a stop actually is changes how you place it, where you place it, and what you expect when it triggers.