---
title: "Take profit"
description: "Take profit closes a position automatically once its gain reaches the percentage you set. Off by default in Fincanva, it starts at 150% and ranges 5%–1000%."
canonical_url: "https://fincanva.com/docs/strategies/take-profit"
last_updated: "2026-09-17"
md_url: "https://fincanva.com/docs/strategies/take-profit.md"
---

# Take profit

Take profit is an automatic exit that closes a position once its gain reaches a threshold you set, such as +20%, locking in the return at that level. It is the gain-side exit: it acts on one position at a time and looks only at how far that position is up — not at how long it has been held, which is [max hold](/docs/strategies/max-hold-months), and not at a fall, which is [stop loss](/docs/strategies/stop-loss).

**Also seen as:** profit target, TP.

## How does take profit decide when to close?

Take profit closes a position once its return since entry meets or passes the take-profit percentage you set. The return it measures is the position's own gain from the price it was opened at, not the strategy's overall return, so each holding reaches its target on its own schedule. A higher take-profit number means the position has to gain more before the rule closes it, and a lower one closes it sooner. The check is not tied to the rebalance schedule: the return is read on the position's own price bars, so a take profit can close a position between two rebalances — see [execution time](/docs/strategies/execution-time#when-does-a-modelled-trade-fill-within-a-bar) for the price that close books at.

$$
r_t \ge \text{TP}
$$

where: $r_t$ is the position's return since it was opened and $\text{TP}$ is your take-profit percentage.

## Defaults in Fincanva

- Off by default; when you turn it on it starts at **150%**.
- Adjustable from **5% to 1000%**, entered as a positive percentage (suffix "%").
- It sits on the **Position exits** card, described there as "Auto-close rules applied to each position".
- Values outside the band are blocked with a "Take profit must be between 5% and 1000%." message.

## Worked example

A position is opened at a price of 100 with take profit set to **20%**. When the price reaches 120, the position's return is +20%, which meets the threshold, so the position is closed and the +20% gain is locked in. Had take profit instead been set to 25%, the same position at +20% would stay open and keep running toward the higher target.

*Fincanva does not recommend a take-profit level, or whether to use one at all — a backtest shows what a setting would have done on historical data, not what it will do. See [Is this financial advice?](/docs/investing-theory/is-this-financial-advice#is-this-financial-advice).*