🎯 ORDER TYPES 101: So You Don't Become a "Donor" in the Market
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1. Market Order (Random Order But Guaranteed to Go Through)
> Description: You buy or sell at the best price available right now.
Suitable: For those who want a quick entry.
Risk: The spread can be nasty. If liquidity is thin, prices can jump like crazy.
🧠 Example:
> You hit "BUY" ETH during FOMO — intending to buy at $3,700, but you ended up at $3,750.
Congrats bro, you just paid the "panic tax."
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2. Limit Order (Patient But Not Guaranteed to Get It)
> Description: You set your own price, for example, "I only want to buy BTC at $66,000."
Suitable: For those who don’t want to be affected by the spread and are willing to wait.
Risk: Might not get touched, your order becomes a resident of the "open orders" museum.
🧠 Example:
> You set a BUY order for SOL at $150 while the current price is $160. You might get it... if the market complies.
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3. Stop Order (Trigger Entry If Market Hits a Certain Price)
> There are two important types:
🔹 Stop-Loss Order: Automatically sells if the price hits a lower limit.
🔹 Stop-Buy Order: Buys if the price breaks through resistance (for breakout).
> Risk:
If there's a long wick from a fake candle (false wick), you could get hit by SL while the market reverses.
🧠 Example:
> You set a stop-loss for ETH at $3,580… but the price only hits that for 0.5 seconds, your SL gets hit, then the price flies to $3,800.
The fate of retail traders: "stop-loss triggered, then moon."
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4. OCO (One Cancels the Other) — Dual Face Order
> A combination of Limit and Stop. For example:
Set a take profit target at $70,000
Set a stop loss at $65,000
> If one gets hit, the other is automatically canceled.
Ideal: For those who can't monitor the chart every second.
🧠 Example setup:
> Buy BTC at $66,000
Take profit: $69,500
Stop loss: $64,900
Once one is triggered, the other is canceled.
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5. Trailing Stop (Self-Moving Stop-Loss Like a Smart Security Guard)
> Stop-loss will automatically rise/fall following the price.
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