What Is Trigger Price?

Trigger price — also called stop price — is the price level you set to automatically activate a buy or sell order once the market reaches it, so you don't have to place the order manually at that moment.

Good to know:

• When the market reaches your trigger price, the order is automatically sent for execution.
• Trigger price powers both Stop Orders and Stop-Limit Orders.

Related questions:

Q: Is trigger price the same as stop price?
Yes — they're two names for the same thing.

Q: Which order types use a trigger price?
Stop Orders and Stop-Limit Orders. Market and Limit Orders don't use one.