Mukta79

Many traders believe their Stop Loss was “manipulated” or “hunted” when a trade closes unexpectedly.
In reality, most of the time the reason is simple:
You didn’t understand Mark Price vs Last Price.
Let’s break this down clearly.
🔹 What Is Last Price?
Last Price is the most recent price at which a trade occurred.
Highly sensitive to volatilityCan spike quickly due to low liquidityReflects the latest transaction, not fair market value
If a single large order executes, Last Price can jump—even if the broader market hasn’t moved.
🔹 What Is Mark Price?
Mark Price is a calculated price used by Binance to:
Trigger Stop LossCalculate LiquidationPrevent unfair liquidations
It is derived from:
Index Price (average across major exchanges)Funding rate adjustments
👉 Mark Price is smoother and more stable than Last Price.
⚠️ Why Your Stop Loss Gets Hit
Here’s the key reason:
By default, Binance Futures uses Mark Price to trigger SL & liquidation.
So even if:
Last Price never touched your SLYour chart “looks safe”
If Mark Price crosses your SL → your trade closes.
This is why traders say:
“Price never came there, but my SL was hit.”
🧠 Common Mistakes Traders Make
Watching Last Price chart but using Mark Price SLSetting tight SLs during high volatilityIgnoring funding rate spikesTrading low-liquidity pairs in futures
✅ How to Avoid Unexpected SL Hits
✔ Switch your chart to Mark Price view
✔ Place SL with extra buffer, not exact levels
✔ Avoid trading during funding-rate resets
✔ Use Last Price SL only if you understand the risk
(Last Price SL is faster but more dangerous during spikes.)
📌 Which Should You Use?
Beginners: Mark Price (safer, more stable)Scalpers: Last Price (only with experience)High leverage: Always Mark Price
🔑 Final Truth
Your Stop Loss isn’t broken.
Your understanding was incomplete.
Learn how Binance calculates prices, and your trading results will immediately improve.