#OrderTypes101

Understanding Order Types on Binance

Binance offers various order types to give traders control over how their trades are executed. The most common include Market, Limit, and Stop-Limit orders.

A **Market Order** is the simplest type; it executes immediately at the best available current price in the order book. This prioritizes speed of execution over a specific price.

A **Limit Order** allows you to set a specific price at which you want to buy or sell. Your order will only execute if the market price reaches your limit price or better. This gives price control but doesn't guarantee execution if the price isn't met.

A **Stop-Limit Order** combines a stop price and a limit price. Once the market reaches your set stop price (the trigger), a limit order is automatically placed to buy or sell at your specified limit price or better. This is often used for risk management (as a stop-loss) or to enter a trade once a certain price level is breached.

Binance also offers more advanced types like OCO (One Cancels the Other) orders, which let you place two orders simultaneously (e.g., a limit order to take profit and a stop-limit order to cut losses), with one cancelling the other if executed.