Placing Market Orders

Placing 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 order, stop or limit, initiating an open position and executed when a specific price level is reached and/or broken. The execution is handled by the dealing desk and the order is in effect until canceled by the client.

Entry Limit Orders: This type of order initiates an open position to sell every time the market rises, or buy every time the market falls. The market is expected to vary in direction at the level of the order.
1. Buy Entry Limit: An order to buy at a price below the current exchange value.
2. Sell Entry Limit: An order to sell at a price above the present exchange value.

Entry Stop Orders: All Entry Limit Orders work to initiate initiating an open position to sell whenever the market falls, or buy whenever the market rises. The client placing a stop entry order believes that when the market's momentum breaks through a specified level, the rate will continue in that direction.
1. Buy Entry Stop: An order to buy at a price ABOVE the existing market.
2. Sell Entry Stop: An order to sell at a price BELOW the present exchange value.

Limit Orders: A limit order is an order tied to a specific position for the purpose of locking in the gains from that position. A limit order remains in use until the position is liquidated or canceled by the client.

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

Stop-Loss Orders: An order linked to a specific exchange position to close that exchange position and prevent additional losses. A stop-loss order will be executed when the displayed price on GTS touches the order price. The executed price will be the order price or in the case of a fast market the order will be executed at the next displayed price and then the stop-loss order remains in use until the exchange position is liquidated or canceled by the client.

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