#OrderTypes101 1. Market Order
What it does: Buys or sells immediately at the best available price.
Best for: Speed over price.
Example: "Buy 100 shares of Apple right now."
✅ Pros: Fast execution
❌ Cons: No control over price
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🎯 2. Limit Order
What it does: Sets a specific price to buy or sell. The trade only executes if the market hits that price.
Best for: Controlling entry/exit price.
Example: "Buy Apple only if it drops to $170."
✅ Pros: Price control
❌ Cons: May not execute
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⏳ 3. Stop Order (Stop-Loss)
What it does: Triggers a market order when a stock hits a certain price.
Best for: Limiting losses or locking in gains.
Example: "Sell if Apple falls to $160."
✅ Pros: Risk management
❌ Cons: May sell at a worse price in fast markets
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🎯⏳ 4. Stop-Limit Order
What it does: Combines stop and limit orders—sets a trigger price and a limit price.
Best for: More precise risk control.
Example: "If Apple hits $160, sell but only at $159 or better."
✅ Pros: Controlled risk
❌ Cons: May not fill if price moves too fast
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🔄 5. Trailing Stop Order
What it does: A stop order that follows (trails) the market price by a set amount or percentage.
Best for: Locking in profits while letting winners run.
Example: "Sell if Apple drops 5% from its highest price."
✅ Pros: Automates profit-taking
❌ Cons: Not ideal in volatile markets