A type of order corresponds to how you enter or exit a trade. I am here to present the types of orders most popular and widely used on the Forex market. In all brokers, these types will be available. Others will offer additional choices and I would strongly advise you to seek out the operation before use. Similarly for the order types below, it is essential to master to properly handle Forex. Use a Demo Account to get familiar with different types of orders.

The classical orders

– The market order (or any price): The market order is an order type of exchange, purchase or sale which does not specify a transaction price. However, unlike the stock market, the execution of your order immediately. In your broker, the quotations appear different parities. It only has to click buy or sell on parity desired, or when you want it to be executed. This type of order often marks a desire to enter or exit a trade quickly.

– The order to limit: The limit order is an order type of scholarship. The buyer or the seller specifies a price limit at which it is ready to buy or sell. Thus, unlike the market order, the transaction price is known in advance but the buyer or the seller does not know the time or the order will be executed. The order may in some cases never to be executed if the limit is not reached. Therefore it is important to clarify the validity of your order. The validity may be the end of trading day (day), week, month, year or until canceled. In the case of an order date, if the current limit is not reached during the day the order is automatically canceled. The limit order may be used to enter the market but also to get out. Thus, you set a goal of winning. Say you’re back long on EUR / USD at 1.3850. You have set a target of 100 pips. You only need to place a limit order at 1.3950 and if the price is reached, you will be automatically executed. This allows you not to break eye to your computer. The limit order guarantees therefore be executed at the price you have asked or a better price if the order book allows.

– The next stop:
The stop order is an order type of scholarship. It is a limit order to buy or sell that is linked to a position already open. Its purpose is to limit your losses to a certain threshold if the market were to go in the wrong direction. This is called stop-loss. If your limit is reached, your order is automatically executed. However, it may happen that the fall in prices is brutal and in this case you can not be executed at your limit. Once the limit is reached, the order becomes in fact a market order and is executed faster. But you worry, the sharp falls happen only when important news is announced. It is therefore advisable to use on each of your trades. When you enter in a position to buy (or sell), place your stop loss at a price lower (or higher) to your entry price. Thus, if the market goes the wrong way, you know the potential amount of your losses. If the market goes in the right direction, you can also operate to stop movement. Gradually, as the course goes in the direction desired, reposition your stop loss. Consider an example. You are long on EUR / USD. Your entry price is 1.4030. Then set a stop loss to 1.4000 for example. Thus, in the worst case, you lose 30 pips on your trade. However, if the price were to rise and reached 1.4070 by example. You can then move your stop loss to your entry price. Thus, if the price falls, you will have lost nothing. You have understood, the main advantage of this type of order is that you do not need to be glued to your computer! It also allows you to apply the method of money management. A stop-loss order can be combined with a limit order. A stop order can also be used to get in position to take advantage of the sharp increases al’annonce an important news for example. Once your ignore reached, your order becomes a market order and you will not necessarily executed at the price you’d asked if the increase is too high.

Special Orders

– The OCO, one cancels the other: The OCO order is an order type of scholarship. It is the combination of two limit orders or limit order with a stop loss. Your two orders are placed at different prices. In the case of two limit orders, one of them will be placed above the current and the other below. Thus, if one is executed the other is automatically canceled. This allows you to play up or down when the market is undecided. For example, the EUR / USD can move in a horizontal channel whose boundaries are 1.4080 and 1.4020. If either of the terminals had to be broken, you want to get in position to take advantage of the movement. The OCO is what you need. Simply place a buy order at 1.4085 and limit order to another 1.4015. If the market goes up and your order is executed at 1.4085, 1.4015 to one will automatically be canceled.

– If the order done (if done): If the order is done one type of stock market order. It consists of two kinds, the first is necessarily a limit order. If your limit order is executed while the other order becomes active. If it is not, your second order remains dormant. The second order may be a limit price, a stop loss or an OCO. It lets you place all your orders on a trade even before you are entered in the market. The EUR / USD 1.4050 rating. You decide to use an If Done order to avoid having to constantly monitor if your limit has been reached. You may place a first order at 1.4080, threshold resistance TB for example. If it is run, you want to limit your loss to 30 pips. Just choose a stop-loss order as the second order, so that you place at 1.4050 (1.4080-30pips). This order will only be active if your order is executed at 1.4080.

– Trailing Stop: Stop is a follower that evolves over time in the direction of your trade. Thus it allows the automatic removal of your stop. This operation is feasible from the trading platform of your broker. Afterwards, depending on your broker, the conditions are different. Some will offer you for example move your stop to 10 pips each time the course takes 10 pips in the direction of your trade. Thus, you avoid hours in front of your screen asking you where you’ll place your stop. This allows you to take advantage of a trend while limiting the As your risk.

Please Wait 1 sec ! As a Forex Expert i tried all the Automated Trading Robots But i found Only one Genuine Robot That is FAP TURBO

Source by Anil Kumar Raju Addipalli