#OrderTypes101
The hashtag #OrderTypes101 refers to an introduction or beginner's guide to different types of orders used in trading — whether in traditional markets, centralized exchanges (CEXs), or decentralized exchanges (DEXs). Understanding order types is essential for effective trading and risk management.
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🧾 Basic Order Types Explained
1. Market Order
Definition: Buy or sell immediately at the best available price.
Use Case: You want to enter/exit a position quickly.
Pros: Fast execution.
Cons: Slippage (especially in low-liquidity markets).
2. Limit Order
Definition: Buy or sell at a specific price or better.
Use Case: You want to control the price at which you buy or sell.
Pros: Price control.
Cons: May not be filled if price isn’t reached.
3. Stop Order / Stop-Loss
Definition: Becomes a market order once a set price is hit.
Use Case: Minimize losses