Placing Market Orders

Forex Orders

A market order is an order to buy or sell which is to be filled rapidly at the current exchange rate quotation under normal market conditions. A market order is what you use when you want to execute an order immediately at the current market price, it is displayed as a bid or ask price. The information in this article is a brief introduction to understanding today's Forex Market Order.

Entry Orders: An entry order is an order that is executed when a particular price level is reached and/or broken. The execution of these orders are under the supervisor of the dealing desk and remain in effect until the client cancels the order.

Limit Entry Orders: This type of order initiates an open position to sell whenever the market rises, or buy whenever the market falls. The market is expected to change in directions at the level of the order.
1. Buy Entry Limit: An order to buy at a price below the present exchange.
2. Sell Entry Limit: An order to sell at a price above the existing exchange.

Entry Stop Orders: All Entry Limit Orders work to initiate an open position to sell as the market falls, or buy as the market rises. The client believes that prices will continue to move in the same direction as the previous momentum after hitting the order level.
1. Buy Entry Stop: An order to buy at a price ABOVE the present market value.
2. Sell Entry Stop: An order to sell at a price BELOW the present exchange value.

Limit Orders: A limit order placed on a Buy position is a limit entry order to SELL that position; this is for the purpose of locking in the gains on an existing position. A stop-limit order remains in use until the position is liquidated or the client cancels the stop-limit order.

OCO (One Cancels the Other): A stop-loss order and a limit order linked to a specific exchange position. The stop order, is to prevent additional loss on the exchange position, and the other limit order will make a profit on the exchange position. When either one is executed, closing the exchange position, the other is automatic each canceled.

Stop-Loss Orders: A stop-loss is an entry order linked to a specific exchange position for the purpose of stopping the exchange position from accruing additional losses and a stop-loss order placed on a buy exchange position is a stop entry order to sell linked to that exchange position. A stop-loss order remains operational until the exchange position is liquidated or the client cancels the stop-loss order. While a stop-loss order on a sell exchange position is an order to buy that exchange position; keep in mind that any stop-loss orders remain operational until the exchange position is liquidated or canceled by the client.

Each stop-loss orders remain valid until the trade position is paid off or canceled by the client. While a stop-loss order on a sell trade position is an order to buy that trade position.
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