How to Use Stop Losses and Take Profit Orders on Trade Republic and DEGIRO

Stop loss and take profit orders are powerful, automated tools for managing risk and locking in gains — especially for European investors who want to avoid emotional trading decisions and protect their portfolios. In this tutorial, you’ll get a detailed, step-by-step guide to placing and managing these orders with two of Europe’s most popular brokers: Trade Republic and DEGIRO. We’ll use real EUR (€) examples, describe what you’ll see on screen, and cover best practices and risks unique to European accounts.

Step 1: Understand Stop Loss and Take Profit Orders

What to do: Before placing any orders, make sure you understand the basics:

• Stop Loss: An order to automatically sell (or buy) a security if its price hits a certain level, limiting your loss.
• Take Profit: An order to automatically sell (or buy) when a security reaches a target price, securing your gains.

Why it matters: These orders help enforce discipline, especially in volatile markets. For example, if you buy €1,000 of BMW AG shares at €100 each, a stop loss at €90 limits your loss to 10% per share.

What can go wrong: Stop and take profit orders can trigger due to short-term price spikes (whipsaws), resulting in unintended sales. Also, market gaps can cause executions at worse prices than you set (slippage).

Step 2: Place a Stop Loss or Take Profit Order on Trade Republic

What to do: Here’s how to set up stop loss and take profit orders in the Trade Republic app (as of early 2026):

1. Open the Trade Republic app.
2. Tap “Portfolio” in the bottom menu. You’ll see your current holdings.
3. Select the stock or ETF you want to protect. For example, tap on “iShares Core MSCI World UCITS ETF (IWDA)”. The details page opens.
4. Tap “Sell”. Then, choose “Order Type”. Options include:
   • Market Order
   • Limit Order
   • Stop Loss Order
   • Stop Limit Order
   (Screenshot would show the “Sell” screen with order type choices.)
5. Choose “Stop Loss Order”. Enter your stop price. For example, if you bought IWDA at €80, you might set the stop loss at €72 (10% below entry).
6. Confirm the order. Double-check the summary: “Sell 10 IWDA if price ≤ €72”. Swipe to confirm.

Expected outcome: You should now see a pending stop loss order listed under the “Orders” section of your IWDA holding. If IWDA’s price drops to €72 or below, your shares will be sold at the next available price.

Why it matters: Setting a stop loss helps limit your downside automatically, even if you’re not watching the market.

What can go wrong: If the market “gaps down” (opens below your stop price), the sale may execute at a worse price than you set. Also, be aware that Trade Republic’s stop loss orders become market orders when triggered — they do not guarantee a minimum sale price.

Step 3: Place a Stop Loss or Take Profit Order on DEGIRO

What to do: DEGIRO offers more flexibility, including both stop loss and take profit (limit) orders for stocks and ETFs. Here’s how to do it on the web platform (process is nearly identical in the app):

1. Log in to your DEGIRO account.
2. Go to “Portfolio” and select your security. For example, choose “ASML Holding NV”.
3. Click “Sell”. The order entry window appears.
4. Choose order type:
   • Limit: Sells only at your chosen price or better (use for take profit)
   • Stop Loss: Sells as a market order if price falls to your stop level
   • Stop Limit: Sells only within a specified price range (controls slippage)
   (Screenshot would show the order window with these options.)
5. Set your stop or limit price. For example:
   • Bought ASML at €600. Set a stop loss at €540 (10% below).
   • Or, set a take profit (limit) at €660 (10% above entry).
6. Review and confirm. The summary will display: “Sell X ASML if price ≤ €540 (Stop Loss)” or “Sell X ASML if price ≥ €660 (Limit)”. Click “Place Order”.

Expected outcome: Your open order will appear under “Orders”. If ASML trades at or below €540, your stop loss triggers. If it rises to €660 or above, your take profit executes.

Why it matters: DEGIRO’s options allow you to precisely control your exit points and manage risk or gains even when you’re not logged in.

What can go wrong: As with Trade Republic, stop loss orders convert to market orders when triggered, and may execute at a worse price in fast-moving markets. Stop limit orders can prevent this, but risk not being filled if the price moves too quickly.

Step 4: Monitor and Adjust Your Orders

What to do: After placing your orders, regularly check their status:

• On Trade Republic: Go to “Portfolio”, select your asset, and view the “Orders” tab.
• On DEGIRO: Use the “Orders” tab in the main menu to see all open (pending) and executed orders.

Why it matters: Markets move, as do your investment goals. You may want to update your stop loss to a higher price as your position gains value (“trailing stop”), or adjust your take profit target based on new analysis.

What can go wrong: Forgetting to update or cancel old orders can result in unexpected sales if the market retraces after a big move.

Step 5: Best Practices for European Investors

• Always double-check your order type and price before confirming. A misplaced decimal (e.g., €7.20 instead of €72) can trigger costly mistakes.
• Use stop limit orders if you want to control the minimum price you’ll accept, especially for less liquid European stocks or ETFs.
• Remember that not all securities or exchanges support all order types. For example, some smaller ETFs on Trade Republic may only allow market or limit orders.
• Review how to rebalance your ETF portfolio to see how stop loss and take profit orders can fit into your overall strategy.

Common Mistakes

• Setting stops too tight: Placing a stop loss just 2–3% below your entry often leads to being “stopped out” by normal price noise.
• Forgetting open orders: Not cancelling or updating pending orders after you sell or buy more shares can result in unwanted trades.
• Misunderstanding order execution: Assuming a stop loss guarantees a specific exit price — in reality, it becomes a market order at the trigger point.
• Ignoring trading hours: Stop and limit orders may not execute outside of exchange hours, or may execute at a different price if the market opens with a gap.
• Neglecting platform differences: Each broker’s order logic is different. Always check the platform’s official documentation for current features and limitations.

Next Steps

• Practice placing small stop loss and take profit orders with low-value trades to become comfortable with each platform’s workflow.
• Review your broker’s security and asset protection features — see our Ultimate Guide to European Broker Security for details.
• As your portfolio grows, consider a more advanced risk management plan, including rebalancing and diversified order types.
• Stay up to date with platform updates via the Trade Republic Help Center and DEGIRO Help Center.

Disclaimer: This article is for educational purposes only and does not constitute financial advice. Always do your own research and consider consulting a qualified financial advisor before making investment decisions.