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#OrderTypes101 🎯 #OrderTypes101 : Choosing the Right Order Type Can Make or Break Your Trade
Understanding how different order types work is essential for risk management and precision in your trading. Here's a quick breakdown:
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🟢 Market Order
Executes instantly at the best available price.
✅ Fast execution
⚠️ Slippage possible in volatile markets
🔁 I use this when I need to enter/exit quickly, especially in fast-moving markets.
📊 Limit Order
Sets a specific price you’re willing to buy or sell at.
✅ Better price control
⚠️ No guarantee it gets filled
💡 I use this when I’m not in a rush and want to buy the dip or sell at a specific target.
🛑 Stop-Loss Order
Closes a position at a set price to limit losses.
✅ Essential for protecting capital
⚠️ Might trigger on a wick
💡 Always part of my Futures and Margin trades. Risk management is everything.
💰 Take-Profit Order
Closes a trade once a profit target is hit.
✅ Locks in gains automatically
⚠️ May miss further upside if price keeps pumping
💡 I combine this with stop-loss to automate exits.