#OrderTypes101 trading, there are various types of orders, each with its own purpose. The most common are market orders, limit orders, and stop orders. Market orders are executed at the best available price, while limit orders allow specifying a price. Stop orders are triggered when the price reaches a predefined level, then becoming market orders.

Common Types of Orders:

Market Order:

Executed immediately at the best available price in the market, regardless of whether it is the desired price.

Limit Order:

Allows specifying a maximum price to buy (buy limit) or minimum price to sell (sell limit). The order will only be executed if the price reaches or exceeds that level.

Stop Order:

Activated when the price reaches a predefined level (stop price). Once activated, it becomes a market order and is executed at the prevailing price at that moment.

Stop Limit Order:

Combines the features of a stop order and a limit order. It is activated when the price reaches the stop level and is executed as a limit order at the specified price or better.

One Cancels the Other (OCO) Order:

Allows placing two orders (for example, take profit and stop loss) and when one is executed, the other is automatically canceled.

Iceberg Order:

Allows concealing the total volume of an order to prevent it from significantly impacting the market price.

Day Order:

Automatically cancels at the end of the trading day if it has not been executed.