A Stop Out (SO) is an automated protective feature that helps traders manage risk by preventing account balances from dropping too far into negative territory.
How Stop Out Works
Activation Threshold: A Stop Out is triggered when your overall Margin Level drops below 10% (updated across all MT4 and MT5 account types).
Automatic Liquidation: The trading platform automatically closes your open position with the largest loss first. It continues closing positions sequentially until your Margin Level is restored above 10%.
Mandatory Control: The Stop Out mechanism is strictly enforced by regulatory guidelines and cannot be turned off, customized, or modified.
Important Risk Note: The Stop-Out level was reduced from 30% to 10% to allow positions to withstand greater market fluctuation. To avoid automatic liquidation, keep your Margin Level well above 100% (the Margin Call threshold).