Orders & execution · Beginner

Take-Profit Orders Explained

A 1-minute lesson from the MarketPro academy, one of 16 in orders and execution.

Last reviewed 15 September 2026 by the MarketPro research desk · Editorial policy

Short answer

A take-profit order is an instruction to automatically close a position once it reaches a specified profit target, allowing a trader to lock in gains without needing to watch the market continuously. Setting a take-profit level in advance can help remove some of the emotional decision-making that often happens once a trade is already profitable, such as the temptation to hold on too long hoping for further gains, or to exit too early out of fear of giving profits back.

A take-profit order is an instruction to automatically close a position once it reaches a specified profit target, allowing a trader to lock in gains without needing to watch the market continuously.

How It Fits Into a Trading Plan

A take-profit level is typically set in advance, often based on a target price, a percentage gain, or a technical chart level.
Once the market reaches that level, the order executes, closing all or part of the position.
Some platforms allow scaling out, closing only a portion of a position at one target while leaving the rest open with a separate target or stop.

Finish this lesson in the MarketPro app

3 more sections of Take-Profit Orders Explained, plus all 320 lessons, the quizzes that check each one landed, and the streak that keeps you coming back. All of it is free on any account, including a free one. There is no paywall inside the academy.

Scan with your phone camera to install MarketPro and open this lesson.

Download on theApp Store Get it onGoogle Play

Free account, no card. The academy has no paywall inside the app.

Not investment advice. Past performance is not indicative of future results.

Setting a take-profit level in advance can help remove some of the emotional decision-making that often happens once a trade is already profitable, such as the temptation to hold on too long hoping for further gains, or to exit too early out of fear of giving profits back.

A take-profit order does not guarantee the exact fill price in every situation, particularly during periods of rapid price movement, and setting it does not eliminate the underlying risk of the trade—it only defines one specific exit condition.

Combining a take-profit level with a stop-loss level is a common way to define a clear risk-reward structure for a trade before it is even placed, rather than deciding both in the moment.

Lesson 3 of 16 in Orders and execution

PreviousStop-Loss Orders Explained NextUnderstanding Stop-Limit Orders

Run the numbers while this is fresh

The arithmetic in this category has a free calculator on this site, no sign-up and nothing leaves your browser: Position size calculator, Margin calculator, Leverage calculator.

Written and reviewed by the MarketPro research desk

MarketPro is a trading-signal and trading-education app operated by Harajuku Holdings LTD (Cyprus). Our signal desk publishes and tracks every trade idea in-app, and every page here is checked against the app's live behaviour before publishing. Last reviewed 15 September 2026. How we produce signals and content · About MarketPro

Trade · Learn · Earn

The whole academy is free in the app

All 320 lessons, 12 guided paths, quizzes and a daily streak. Free on every account, with vetted free signals alongside it.

Download on theApp Store Get it onGoogle Play

Not investment advice. Past performance is not indicative of future results.