Order Types
Market, limit, stop, stop-limit, stop-loss, take-profit, and trailing stop orders: how each one works, where pending orders sit relative to the current price, and when to use which.
Order Types
An is your instruction to a broker to buy or sell an asset. It sounds simple enough: you just hit "Buy" or "Sell". But trading platforms offer a dozen different order types, and picking the wrong one can cost you money through a worse price, an unexecuted trade, or an unprotected position.
This lesson kicks off our mechanics module. Here, you'll get to know the core order types and learn when to use each one. In upcoming lessons, we'll cover order execution details, brokers, trading costs, and margin.
Two Questions That Decide Everything
Every order answers two basic questions:
- Execute now, or wait for a specific price?
- If waiting, wait for a better price, or a worse price that confirms a move?
Answering these two questions is all it takes to understand every order type covered below.
Get 5 USDT on your first RealStocks trade
Make a first RealStocks trade of at least 10 USDT and receive 5 USDT.
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