Explain Forex Order Types: Different types of Forex orders
You can find many types of orders in the Forex market. These are:
Market orderLimited orderStop the command to enterOrder of lossFinal stop orderIt clears wellGood for todayOne cancels the other (OCO)Another trigger (OTO)
Market order:
A currency trading market order is a buy or sell order at the best available market price.
For example, suppose the bid price for EUR / USD is currently 1.1285 and the asking price is 1.1287.
If you submit a EUR / USD purchase order to the market, you will sell it at the current price of 1.1287.
Click the Buy button. Your trading platform will immediately place an order at this price.
Also called a click order.
Specific entry order:
And a system access restriction is a type of system that is marketed or bought for less than the market or sold above the market for a set price.
Types of orders to buy and sell on Forex
For example, let's say that EUR / USD is trading at 1.1952 and wants to buy when the price drops to 1.1900.
In this case, you have two options to meet your needs:
Or sit in front of your trading console and wait for it to reach 1.1900 (must be ordered immediately).
Alternatively, you can set a purchase order limit of 1.1900 (you can now go anywhere; the order will be executed automatically if the price reaches 1.1900).
Also, if you want to sell (sell) the same EUR / USD per 1.2000, you can set the sales order limit to 1.2000, so the system will automatically execute the sales order when the price reaches 1.2000. ,
You can use this type of limit entry order (limit purchase order or request limit sale) if the price is assumed to be reversed when the set price is reached.
Arrest arrest warrant:
A stop-entry system is an order to buy above the market or sell at a certain price for less than the market.
Types of buy and sell orders
For example, say GBP / USD is trading at 1.4450 and is out of range. Do you think the price will continue to rise if it reaches 1.4500. So you just want to buy GBP / USD if it reaches 1.4500.
Here are two options for doing this.
The first option is to sit in front of the trading platform and buy a pair when the price reaches 1.4500. Another option is to set a stop order at 1.4500. In the second option, the system will automatically execute a purchase order if the price reaches 1.4500.
Also, if you think the price will continue to fall if the price reaches 1.4400, you can send a sales order of 1.4400. In this case, if the price reaches 1.4400, the trading system will automatically insert the client's order on your behalf.
You can use stop-start orders effectively (buy a stop-order or sell an entry order) when you believe that the price will move in one direction if it reaches a certain price.
Stop loss order:
Stop loss is a type of system that is put in place to prevent further trade losses if the price goes against you. Loss orders are always in the opposite direction to today's trade.
If you are in a long position (long position), a customer order must be made.
If you are in a short position (short position), this should be a stop order.
Things to remember about stop orders:
A stop loss order is always linked to an existing position (buy or sell dose).
The stop loss order remains active until the attached position is adjusted (multiply the profit take or stop loss order) or the stop loss order is canceled.
For example, let's say we bought USD / USD at 1.4200 for a profit of 1.4500. To limit the maximum loss, I set a loss order of 1.4150.
This means that if your hypothesis fails and the GBP / USD pair drops to 1.4150 instead of rising, your trading platform will automatically execute a 1.4150 sales order, which is the best available price and will close your position. a long loss of 50 pips.
You can also place a stop loss order for any short position (sales position).
A stop loss order is very useful if you do not want to be in front of a trading platform all day because of the fear that your account balance will be lost. You can also place a stop loss order in any open position without worry.
Loss of Stop Trailing or Loss Stop Trailing:
A stop-loss or stop-loss order is a type of loss-stopping order associated with a moving trade as the price varies.
Suppose you decide to buy (USD) / CAD at 1.2320, with a stop of 20 pips.
This means that the original stop loss would be 1.2300 and increase by 20 pips per 20 pips per course. If the price rises and reaches 1.22340, the stop-loss loss also goes to 1.22320 (or break new ground).
But remember, stop-loss is not going backwards. Your station will remain at this new price level even if the market starts to decline.
Lost Forex Trading Order Types
Let us return to the example, with a delay of 20 pips, if USD / CAD reaches 1.22360, your station will exceed 1.22340 (or you will receive a guaranteed return of 20 points).
Your trading remains open until the course moves 20 points on any trading point against you, and your trading follows every 20 points of your trading address.
Once the market begins to reverse and reach the closing price, the market order will close to close its position at the best available price.
Types of Unknown and Conditional Forek Accounts:
So far we have learned about the most common types of Forek trading accounts supported by most brokers. We will now learn some types of anonymous and conditional Forek trading orders that your broker may or may not transfer (by default). But these types of Forek trading accounts are worth knowing if your broker supports them:
Good thing to clear (SHG):
General Terms and Conditions are those orders that remain active on the market until you decide to cancel them. Your broker will not cancel your SHG order at any time (until you have your account balance). It is the user's responsibility to remember and keep track of these scheduled applications and to cancel them if they are no longer needed.
GFD GOOD DAY:
A good day (actually) to stay active in the market until the end of the trading day.
Because the Forek Market is a 24-hour market, it usually means at 10:00 PM GMT, because this is the time when US markets close (session ends in New York).
But we recommend contacting a broker to see how long GFD order support has been open.
One cancels the other (OCO):
An OCO is a combination of two orders to enter and / or prevent loss.
If you know OCO trading trades, Forex trading is not that different, so don't be confused.
Here in OCO orders two orders with variable prices and lengths above and below the current price are recorded. When one command is executed, the system automatically cancels another command.
Suppose the current market price is $ 110,540 / JPI. You want to buy at 110,700 above the resistance level, expecting to break new ground or enter a sales position if the price drops below 110,300. To do this, you need to create an OCO account that sets both criteria.
The trick is that if the rate reaches 110,700, your purchase order will be activated and the sales order will be canceled. Otherwise, if the rate drops to 110,300, the sale order will be executed and the purchase order automatically canceled.
Second Run Order (OTO):
In the Forek Store, the One-Trigger-the-Other (OTO) command is the opposite of the OCO command because it only places orders when the original command is activated. If you are familiar with the types of stock market orders, this is similar to the port order.
You give an OTO account when planning to set the Profit Taking and Stop Loss levels before entering the store.
For example, suppose that USD / CHF is currently trading at 1.2150. And you think that when the price reaches 1.2200, it will reverse and fall, but only to 1.2050.
How would you set up this shop? The answer lies in the OTO agreement.
To take this step even if you are not on the front line of the trading platform, I set up an OTO account to set a sales limit of 1.2200 and at the same time set the purchase limit to 1.2050 and, for safety, stop the loss at 1.2250.
As an OTO order, Buying Limit and Stop Loss orders will only be issued if your initial sale order at 1.2200 is executed.
Collection and Collection:
The main types of Forek trading orders, such as market orders, special deposits, stop orders, stop loss orders, and stop orders, are the most common types of tradi orders.