diff --git a/app/api/trading/remove-position/route.ts b/app/api/trading/remove-position/route.ts
new file mode 100644
index 0000000..61bd591
--- /dev/null
+++ b/app/api/trading/remove-position/route.ts
@@ -0,0 +1,115 @@
+/**
+ * Remove Position from Tracking
+ * 
+ * Manually removes a position from Position Manager tracking
+ * POST /api/trading/remove-position
+ */
+
+import { NextRequest, NextResponse } from 'next/server'
+import { getInitializedPositionManager } from '@/lib/trading/position-manager'
+import { updateTradeExit } from '@/lib/database/trades'
+
+interface RemovePositionRequest {
+  tradeId: string
+  reason?: string
+}
+
+interface RemovePositionResponse {
+  success: boolean
+  message: string
+  tradeId?: string
+}
+
+export async function POST(request: NextRequest): Promise<NextResponse<RemovePositionResponse>> {
+  try {
+    // Verify authorization
+    const authHeader = request.headers.get('authorization')
+    const expectedAuth = `Bearer ${process.env.API_SECRET_KEY}`
+    
+    if (!authHeader || authHeader !== expectedAuth) {
+      return NextResponse.json(
+        {
+          success: false,
+          message: 'Unauthorized',
+        },
+        { status: 401 }
+      )
+    }
+
+    const body: RemovePositionRequest = await request.json()
+    
+    console.log('🗑️ Removing position from tracking:', body)
+    
+    if (!body.tradeId) {
+      return NextResponse.json(
+        {
+          success: false,
+          message: 'tradeId is required',
+        },
+        { status: 400 }
+      )
+    }
+
+    // Get Position Manager
+    const positionManager = await getInitializedPositionManager()
+    
+    // Check if position exists
+    const activeTrades = positionManager.getActiveTrades()
+    const trade = activeTrades.find(t => t.id === body.tradeId)
+    
+    if (!trade) {
+      return NextResponse.json(
+        {
+          success: false,
+          message: `Position ${body.tradeId} not found in tracking`,
+        },
+        { status: 404 }
+      )
+    }
+
+    console.log(`📊 Found position: ${trade.symbol} ${trade.direction} at $${trade.entryPrice}`)
+    
+    // Remove from Position Manager
+    positionManager.removeTrade(body.tradeId)
+    
+    console.log(`✅ Removed ${body.tradeId} from Position Manager`)
+    
+    // Update database to mark as closed (manually)
+    try {
+      const exitTime = new Date()
+      const holdTime = Math.floor((exitTime.getTime() - new Date(trade.entryTime).getTime()) / 1000)
+      
+      await updateTradeExit({
+        positionId: trade.positionId || 'manual-removal',
+        exitPrice: trade.lastPrice || trade.entryPrice,
+        exitReason: 'manual',
+        realizedPnL: trade.unrealizedPnL,
+        exitOrderTx: 'manual-removal',
+        holdTimeSeconds: holdTime,
+        maxDrawdown: trade.peakPnL < 0 ? trade.peakPnL : undefined,
+        maxGain: trade.peakPnL > 0 ? trade.peakPnL : undefined,
+      })
+      console.log('💾 Updated database: trade marked as closed')
+    } catch (dbError) {
+      console.error('❌ Failed to update database:', dbError)
+      // Don't fail the removal if database update fails
+    }
+    
+    return NextResponse.json({
+      success: true,
+      message: `Position removed from tracking: ${trade.symbol} ${trade.direction}`,
+      tradeId: body.tradeId,
+    })
+
+  } catch (error) {
+    console.error('❌ Remove position error:', error)
+    
+    return NextResponse.json(
+      {
+        success: false,
+        message: error instanceof Error ? error.message : 'Unknown error',
+      },
+      { status: 500 }
+    )
+  }
+}