#OrderTypes101 #OrderTypes101 🧠📊
Basic explanation about the types of orders in crypto trading (or stocks/forex). Understanding order types is important for managing your risks and trading strategies.
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✅ 1. Market Order
🔹 Instant execution at the current market price.
When to use:
When you want to buy/sell right now, without waiting.
Advantages:
Fast and easy.
Disadvantages:
Can be subject to slippage (price changes during execution).
> Example:
“Click buy now” at a BTC price of 70,000 USD — you get it immediately, but it could be slightly more expensive/cheaper depending on liquidity.
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⏳ 2. Limit Order
🔹 Execution only at the price you specify or better.
When to use:
When you want to buy cheap or sell high.
Advantages:
More control over the price.
Can wait for good opportunities.
Disadvantages:
Not always executed.
> Example:
You place a limit order to buy BTC at 68,000 USD → the order is only executed if the price drops to 68,000 USD.
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🚨 3. Stop-Loss Order
🔹 Automatic order to sell when the price drops to a certain level.
Purpose:
To protect capital from large losses.
> Example:
You buy ETH at $3,500 and set a stop-loss at $3,200 →
