#OrderTypes101 Understanding order types is crucial for trading successfully. Here's a breakdown of the most common order types:

## 1. Market Order

- *Definition*: Buy or sell an asset immediately at the current market price.

- *Example*: Buying 1 BTC at the current market price of $30,000.

## 2. Limit Order

- *Definition*: Buy or sell an asset at a specified price or better.

- *Example*: Buying 1 BTC at a limit price of $29,000.

## 3. Stop-Loss Order

- *Definition*: Sell an asset when it falls to a specified price to limit losses.

- *Example*: Selling 1 BTC when it falls to $28,000 to limit losses.

## 4. Take-Profit Order

- *Definition*: Sell an asset when it rises to a specified price to lock in profits.

- *Example*: Selling 1 BTC when it rises to $32,000 to lock in profits.

## 5. Stop-Limit Order

- *Definition*: A combination of a stop-loss and limit order.

- *Example*: Selling 1 BTC when it falls to $28,000, but only if it can be sold at $27,500 or better.

## 6. Trailing Stop Order

- *Definition*: A stop-loss order that adjusts to the asset's price movement.

- *Example*: Selling 1 BTC when it falls 10% below its highest price since the order was placed.