> ## Documentation Index
> Fetch the complete documentation index at: https://uncoded.ch/docs/llms.txt
> Use this file to discover all available pages before exploring further.

# Tsl2Sell (Mode 7) — Trailing-Stop-Driven Exits

> Trailing-stop-dominant exits with simplified buy logic. Optimized for instruments where letting the trailing stop catch the move is more valuable than a fixed sell ladder.

<Info>
  **Tsl2Sell (Mode 7) is the trailing-stop-dominant mode** — exits are driven primarily by the trailing stop rather than a fixed sell ladder. Suitable for trending instruments where the next high is unpredictable but durable, and you want the position to ride sustained moves.
</Info>

## The mode at a glance

| Property                   | Value                                     |
| -------------------------- | ----------------------------------------- |
| **Mode number**            | 7                                         |
| **Buy logic**              | Simplified vs BasicMode                   |
| **Sell logic**             | Trailing-stop dominant                    |
| **Trailing stop**          | Yes — the primary exit mechanism          |
| **Recommended capital**    | `~$10,000`                                |
| **Reserve recommendation** | `~$5,000` (`50%` of trading capital)      |
| **Best regime fit**        | Sustained trends with unpredictable peaks |
| **Worst regime fit**       | High-frequency chop                       |

## When to use Tsl2Sell

<CardGroup cols={2}>
  <Card title="Strong trending instruments" icon="arrow-trend-up">
    Symbols making sustained directional moves where the eventual peak is hard to call. The trailing stop captures the move and exits at a controlled distance from the peak.
  </Card>

  <Card title="You don't want fixed exits" icon="bullseye">
    A fixed sell ladder caps the upside at `+5%` (BasicMode) or `+8%` (FullBullMarket). Tsl2Sell can ride to whatever high the trend produces, exiting on the pull-back.
  </Card>

  <Card title="Capital `$10,000–$15,000`" icon="circle-dollar">
    The mode's calibration. Below `$10,000`, switch to LowMoney. Above `$15,000`, BasicMode or FullBullMarket may be more appropriate.
  </Card>

  <Card title="You want simpler buy logic" icon="filter">
    Mode 7 has reduced buy-ladder complexity vs BasicMode. Fewer splits, more reliance on trailing-stop exits to capture P\&L.
  </Card>
</CardGroup>

## The trailing-stop trade-off

<AccordionGroup>
  <Accordion title="Upside: rides sustained moves" icon="arrow-up-right-dots">
    A `+30%` rally that BasicMode would have closed at `+5%` (full sell ladder filled) — Tsl2Sell holds through, trailing-stop tracks the highs, exits when the move retraces by the trailing distance.

    On well-chosen trending instruments, this is meaningfully more profitable than a fixed sell ladder.
  </Accordion>

  <Accordion title="Downside: gives back at the top" icon="arrow-down">
    The trailing stop exits at the trailing distance below the peak. Whatever the peak was, the exit price is some percentage lower.

    A `2%` trailing distance means: if the peak was `$80,000`, exit is at `$78,400`. The `2%` between peak and exit is the cost of the trailing-stop strategy.
  </Accordion>

  <Accordion title="Downside: downtime weakness" icon="cloud-bolt">
    Trailing stops are locally re-priced — they live on your VPS. If your VPS is offline during a period of new highs, the trailing-stop reference doesn't advance.

    For most modes this is a minor edge case; for tight trailing stops on volatile instruments, this can mean a slightly lower exit price.
  </Accordion>

  <Accordion title="Downside: chop performance is poor" icon="wave-square">
    In sideways markets, the trailing stop frequently triggers small losses (every minor pullback after a small rally trips the stop). Net effect: many small-loss trades.

    Tsl2Sell is regime-dependent. Use only when you're confident in trending behaviour.
  </Accordion>
</AccordionGroup>

## When NOT to use Tsl2Sell

<Warning>
  * ❌ **Chop or unclear regimes** — the trailing stop trips on noise, eroding capital.
  * ❌ **First month operating unCoded** — regime calling is hard; default to BasicMode first.
  * ❌ **Capital below `$10,000`** — split sizing becomes inefficient.
  * ❌ **Multiple highly-correlated pairs** — if all your pairs are trending similarly, regime risk concentrates.
  * ❌ **You're not watching** — Tsl2Sell needs operator attention to switch off when the regime breaks.
</Warning>

## Best practices

<Tip>
  * ✅ **Use only with confirmed trend signals** — multiple confirmations across timeframes.
  * ✅ **Pair with momentum-aligned instruments** — BTC during a clear bull run, not during chop.
  * ✅ **Watch for regime breaks** — switch back to BasicMode if the trend signs reverse.
  * ✅ **Hold 50% reserve** for averaging or alternative pairs if regime breaks.
  * ✅ **Backtest on the specific instrument and regime** — Tsl2Sell behavior is highly regime-dependent.
  * ✅ **Check the Dashboard daily** — Tsl2Sell needs operator attention more than BasicMode.
  * ✅ **Be prepared to switch off** — regime mismatch with Tsl2Sell is more painful than with BasicMode.
  * ✅ **Consider a sub-account** — keep Tsl2Sell isolated from your validated BasicMode operation.
  * ✅ **Treat the kill switch as your most important control** during regime shifts.
</Tip>

## What's next

<CardGroup cols={2}>
  <Card title="FullBullMarket (Mode 1)" icon="rocket" href="/strategies/modes/fullbullmarket">
    Trailing-stop with stronger buy ladder for `~$20,000`.
  </Card>

  <Card title="BasicMode (Mode 4)" icon="seedling" href="/strategies/modes/basicmode">
    The default — switch back during regime uncertainty.
  </Card>

  <Card title="Backtester" icon="flask" href="/modules/backtester">
    Validate Tsl2Sell behavior on your target regime.
  </Card>

  <Card title="Risk Management" icon="shield" href="/risk-management/overview">
    Trailing-stop risk in your overall framework.
  </Card>
</CardGroup>
