The main difference from a Limit Order is:
- In a Limit Order, you set a price at which you want to buy/sell and ensure it does not execute at a worse price.
- In a Stop Order, you set a price that, when reached, activates the order, which is then executed at the market price.
This type of order is used to minimize losses and manage risks.
ADVANCED (STOP LIMIT)
Stop Price: The price at which the order becomes active and creates a limit order.
Limit Price: The price at which the order will be executed once activated. The limit price can be equal to or better than the stop price.
ADVANCED (ORDER STRATEGIES)
One Cancel Other (OCO): This order allows you to place two orders simultaneously. If one order is executed, the other is automatically canceled (e.g., placing both a buy and sell order).
One Triggers Another (OTA): This order consists of two orders, where executing the first order automatically activates the second order (e.g., buying at a lower price and then selling at a higher price)
Ladder of the orders: Allows placing a series of buy or sell orders at different price levels (used for averaging positions or entering the market gradually)
Order by Date (OBD): This order allows setting a specific date and time when the order will become active