Definitely, in this context, the name "stop-loss order" is a little bit misleading. Stop-loss orders are mainly intended to guard against significant losses on both long and short positions. However, since they get triggered when the security's price trades over a specified level, they can be utilized against large gains on current holdings as well. Even so, because stop-loss and stop-loss orders are transformed to market orders after they are broken, their actual price execution may be considerably below or above the stop-loss price.