THE BASIC ORDER TYPES ARE:
MARKET ORDER(INSTANT EXECUTION)
It is an order to buy or sell at the current market price. For example, if GBP/USD is current trading at 1.9000 and you want to buy at this price, you would click “ buy” and you trading platform would instantly execute a buy order at that exact price.
LIMIT ORDER(PENDING ORDER)
It is an order placed to buy or sell at a certain price. The order essentially contains two variable: price and duration. For example, GBP/USD is currently trading at 1.9000 and you want to go long(buy) if the price reaches 1.9020 You can set a buy limit order at q.9020 if you cannot wait for it to hit 1.9020 sitting in front of your monitor.
TARGET PROFIT ORDER
This is an order issued to close a trade on profit. It is a limit order linked to an open trade ordering the trading station/platform to close up a trade at a certain price due to profit. This order is used to safeguard profit especially when the trader is not ready to sit down and watch the charts.
STOP LOSS ORDER
A stop loss order is a market/limit order linked to an open trade, ordering the trading station/platform to close up at certain price due to loss. A trader is expected to predetermine at what point he could be wrong and preset his stop loss order there.
MARKET ORDER(INSTANT EXECUTION)
It is an order to buy or sell at the current market price. For example, if GBP/USD is current trading at 1.9000 and you want to buy at this price, you would click “ buy” and you trading platform would instantly execute a buy order at that exact price.
LIMIT ORDER(PENDING ORDER)
It is an order placed to buy or sell at a certain price. The order essentially contains two variable: price and duration. For example, GBP/USD is currently trading at 1.9000 and you want to go long(buy) if the price reaches 1.9020 You can set a buy limit order at q.9020 if you cannot wait for it to hit 1.9020 sitting in front of your monitor.
TARGET PROFIT ORDER
This is an order issued to close a trade on profit. It is a limit order linked to an open trade ordering the trading station/platform to close up a trade at a certain price due to profit. This order is used to safeguard profit especially when the trader is not ready to sit down and watch the charts.
STOP LOSS ORDER
A stop loss order is a market/limit order linked to an open trade, ordering the trading station/platform to close up at certain price due to loss. A trader is expected to predetermine at what point he could be wrong and preset his stop loss order there.
