Take-profit
A take-profit is a rule or order that sells a position once its price rises a set amount above the buy price. Definition, example and how to set one.
Definition
A rule or order that sells a position once its price rises a set amount above the buy price, such as 4%, so the move is locked in rather than left to fade.
A take-profit is the other half of a stop-loss. Where a stop-loss decides when a losing trade ends, a take-profit decides when a winning one does. Once the price reaches your level, the position is sold.
Example
You buy $50 of BTC at $86,930 with a take-profit at 4% above the buy price. When BTC reaches $90,410, the position is sold for about $52. Without the rule, you would have to be watching at that moment, and decide on the spot whether to sell or hope for more.
Why it matters
Gains in crypto can vanish as fast as they appear. A take-profit turns "I will sell when it feels high enough" into a decision made in advance, when you are calm. It also shapes a strategy's maths: the distance to the take-profit, compared with the distance to the stop-loss, decides what share of trades must reach the target for the rule to come out ahead after fees.
How TradeCorgi uses it
Every strategy card has an exit rule, and a take-profit is the most common one. The agent checks it at most once a minute and sells at market when it is reached, writing the fill price into the decision log. You can also use a trailing stop to let a rise run while still protecting part of it.