#OrdenTypes101 In the stock market (securities market), there are several types of orders that investors can use to buy or sell assets such as stocks, bonds, ETFs, etc. Here are the most common ones:

📈 1. Market Order

Definition: Executes the purchase or sale immediately at the best available price.

✅ Advantages: High probability of quick execution.

⚠️ Disadvantages: Price is not controlled; there may be slippage if the market is volatile.

💰 2. Limit Order

Definition: Buys or sells at a specific price or better.

Limit Buy: executes only if the price drops to your limit.

Limit Sell: executes only if the price rises to your limit.

✅ Advantages: Total control over the price.

⚠️ Disadvantages: Does not guarantee execution if the price is not reached.

⏱ 3. Stop Order (Stop Loss)

Definition: Becomes a market order when the price reaches a specific level (stop price).

Example: you sell a stock automatically if it drops to $50.

✅ Advantages: Useful for limiting losses.

⚠️ Disadvantages: Once activated, it may execute at a worse price if there is high volatility.

🧷 4. Stop Limit Order

Definition: Activates when the stop price is reached, but only executes if it can be done within a limited price range.

✅ Advantages: Combines price control with protection.

⚠️ Disadvantages: May not execute if the price moves quickly outside the range.

🔄 5. Trailing Stop Order

Definition: It is a type of stop that automatically adjusts as the asset price rises (or falls, in the case of short positions).

✅ Advantages: Protects profits and limits losses.