Types of orders in trading... Why the right type matters
If you're trading on Binance, the type of order you place determines how the trade will be executed. There are different types, each with its own use
Market Order
An immediate order executed at the best available price right now. Suitable if you want to enter or exit quickly. Its downside is that the price may not always be the best
Limit Order
You specify a certain price and wait for the trade to execute at that price. Useful if you're not in a hurry and want a specific price
Stop-Loss
You place a sell order if the price drops below a certain point. It protects you from significant losses
Take-Profit
The opposite. You place a sell or buy order when the price reaches your profit target
Personally, I currently use Limit Order more; I enter the market at the price I want. Always with it a Stop-Loss for protection
I entered ETH and used Market Order for speed. The market was volatile and the price shot up. I bought at a very bad price. If I had used Limit Order, I would have saved a lot
The type of order you use is not a luxury. It's your weapon to manage the trade correctly. Choose wisely and always plan before execution
