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 volatility

  • Can spike quickly due to low liquidity

  • Reflects 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 Loss

  • Calculate Liquidation

  • Prevent 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 SL

  • Your 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

  1. Watching Last Price chart but using Mark Price SL

  2. Setting tight SLs during high volatility

  3. Ignoring funding rate spikes

  4. Trading 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.