Saturday, April 25, 2015

MARKET ORDER


This is when you tell your dealer, by pushing a button on your trading platform, or by calling the customer service number, to buy or sell a currency pair for you at the next available current price. If you trade using market orders, you won’t always get the price that you see on your screen. You could get filled at a price higher or lower than what you saw on your screen.

ENTRY ORDER
This is when you tell your dealer, by pushing a button on your trading platform, or by calling the customer service number, to buy or sell a currency pair for you, at a specific price that you request. When the currency pair hits that price, then your trade will be executed whether you are awake, asleep, alive or dead. Most entry orders are guaranteed except directly after high-volatility economic reports. The guarantee means that you get the price you wanted – which is an advantage over market orders.
STOP LOSS ORDER
This is a price at which you want your dealer to automatically exit the trade if the trade moves against you. The name says it all — you are stopping your loss at a certain predetermined level. Let’s say you buy the GBP/USD at
1.9000, and you are not willing to lose more than 50 pips. You can tell your dealer ahead of time (by a calling or using the software) to exit you automatically at 1.8950. You can set this order at the same time you open the trade with a market order. You can also set this parameter up at the same time you set up your entry order trade.
Stops are essential because they cap your losses at a set level. You can’t be successful if you simply let your losses run forever.
LIMIT / TAKE PROFIT ORDER
This is a price at which you want your dealer to automatically exit the trade if the trade moves in your favor. Let’s say you buy the GBP/USD at 1.9000, and you know that your profit goal on the trade is 50 pips. You can tell your

dealer ahead of time (by a calling or using the software) to exit you automatically at 1.9050. You can set this order at the same time you open the trade with a market order. You can
also set this parameter up at the same time you set up your entry order trade.






























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