Advanced Order Types
Beyond basic market orders, advanced order types can significantly improve your trading.
Basic Order Review
Market Order
- Execute immediately at current price
- Guaranteed fill, not price
- Use when speed matters
- Watch for slippage
Limit Order
- Execute at specific price or better
- Buy limits below market
- Sell limits above market
- May not fill if price does not reach
Stop Order
- Becomes market order when triggered
- Buy stops above market (breakouts)
- Sell stops below market (breakdowns)
- Used for entries and stop losses
Advanced Order Types
Stop Limit Order
- Stop order with a limit price
- Combines stop trigger with limit execution
- Avoids extreme slippage
- Risk: May not fill in fast markets
Trailing Stop
- Stop that follows price
- Locks in profits as price moves
- Set by pips or percentage
- Great for trend following
OCO (One Cancels Other)
- Two orders linked together
- When one fills, other cancels
- Perfect for breakout strategies
- Entry above AND below range
Strategic Applications
Breakout Trading
- Buy stop above resistance
- Sell stop below support
- OCO for range breakouts
- Let market come to you
Scale Out Strategy
- Partial take profits at levels
- TP1: 50% position
- TP2: 30% position
- Runner: 20% with trailing stop
Execution Best Practices
Pre-Planning
- Know your entry, stop, and target before
- Calculate position size in advance
- Set up orders before market reaches level
- Avoid emotional execution
Order Management
- Check orders daily
- Cancel outdated orders
- Adjust stops as trade develops
- Do not over-manage