#OrderTypes101 You're looking to understand order types in trading, a fundamental concept for anyone entering the financial markets. Essentially, an order type is a set of instructions you give to a broker to buy or sell a security. The most basic are market orders, which execute immediately at the best available price. While fast, the execution price can fluctuate, especially in volatile markets.

For more control, limit orders allow you to specify a maximum buy price or a minimum sell price. Your order will only execute if the market reaches your specified limit or better. This helps manage risk and ensures you don't overpay or undersell. Other order types, like stop orders, offer further strategies for entering and exiting positions, but market and limit orders are the foundation.