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What is Price alert?

Narx alerti

In short

A notification sent when price crosses above or below a level you set. It does not trade; it only tells you it is time to look at the chart.

Also known as: alert, price notification

A price alert is a notification (in an app, on Telegram, by email) sent when a stock's price crosses above or below a level you set. An alert doesn't trade — it only tells you "it's time to look at the chart". The decision is still yours.

Why use them

  • Saves time: instead of watching charts all day, you only hear about the important levels.
  • Builds discipline: the level is chosen in advance, while calm — not in the excitement of the session.
  • Reduces FOMO: you don't need to stay glued to the screen for fear of missing out.

Where to put them

  • Support and resistance levels.
  • Breakout points (for example the top of a range).
  • For a stock you hold — approaching the stop or reaching the target.

Alert vs stop-loss

An alert is just a message. A stop-loss is an order with your broker that executes automatically when price reaches the level. An alert is not enough to protect a position — while you're asleep or busy, price can fall far below the alert level. So an open position always gets a stop-loss order; the alert is an extra tool.

Alert → confirmation → entry
$55$60$65SupportTarget $67.00Stop $61.00Alert $62.50Entry $63.00

The alert fired at $62.50, but the entry came only after the bounce (a hammer) confirmed it: $63.00. Stop $61.00 (−$2), target $67.00 (+$4) → 1:2.

Example

An illustrative stock trades at $46. The watchlist plan: enter on a pullback to $41.50 support.

  • An alert at $42 — slightly before the level, to leave time to analyse the chart.
  • A second alert at $40.80 — "level broken, idea cancelled".

Three days later the $42 alert fired. The trader checked the chart: price at $41.60, the daily candle not yet closed. They waited for the close; the candle closed at $42.30 with a long lower wick — an entry per the plan. Risk and size were worked out in the position size calculator.

Mistakes and tips

  • Set the alert slightly before the level, not exactly on it — that gives you time to analyse.

  • An alert firing is not an entry signal. Look at the chart and wait for the candle to close.

  • Don't set too many: with dozens of notifications a day you start ignoring the important ones.

Frequently asked questions

Can a price alert replace a stop-loss?
No. An alert only notifies you, while a stop-loss executes the order automatically. An open position needs a stop-loss for protection.
Where should I set price alerts?
At key support, resistance and breakout levels, a little ahead of them. Every alert should be tied to a specific plan.

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