A stop order is an order that you put on stocks -- it is a point at which you would sell the stock. For example, if your stock’s current value is $35, you might set a stop order at $30, so that if the stock ever fell to this value it would automatically be sold for you. A trailing stop is a stop order that trails the price of your stock. As your stock price rises, your stop order price rises with it, trailing by however many points you specify.
Start up your Schwab trading software.
Select the stock for which you would like to set the trailing stop.
Select “Execute SmartEx Order” from the menu.
Select “Trailing Stop” as your order type.
Select the quantity of stock for which you would like to set the trailing stop.
Select the “Time in Force.” If you would only like the trailing stop to be active during active trading hours, select “DAY.”
Select your trailing amount. You can select this as a percentage value or a dollar value.
Select “Verify Order.”