Lesson 6 of 104:104 Sources
Order types: Market, Limit, Stop, Stop Loss, Take Profit
Recorded. Publishing soon
Educational content, not investment advice. Nour explains how markets work. She never tells you what to buy or sell.
Orders let the platform act for you.
- Market: execute now; guarantees execution, not price.
- Limit: at a set price or better — Buy Limit below the market, Sell Limit above.
- Stop (entry): Buy Stop above, Sell Stop below — waits for a breakout.
- Stop Loss / Take Profit close the trade at your pre-set loss limit or target (e.g. entry 1.1500, SL 1.1470, TP 1.1560).
- A triggered stop becomes a market order, so the fill can differ significantly from the stop price (slippage). Never widen a stop in hope.
Quick check
Three questions. Pick an answer to see why.
1.Price is 1.1500. You want to buy only if price drops to 1.1450. Which order?
2.What does a market order guarantee?
3.When a stop price is reached, the stop order becomes:
Sources
Every fact in this lesson is backed by the sources below.
- 1.SEC Investor.gov — Types of OrdersMarket order guarantees execution, not price; limit order executes at a set price or better; stop order becomes a market order
- 2.SEC Investor.gov — Investor Bulletin: Stop, Stop-Limit and Trailing Stop OrdersA stop order's execution price can deviate significantly from the stop price
- 3.MetaQuotes — MetaTrader 5 Help: Types of OrdersDefinitions of Buy/Sell Limit, Buy/Sell Stop, Stop Loss, Take Profit; Bid/Ask triggering
- 4.ASIC Moneysmart — Forex tradingGuaranteeing a stop-loss may cost a premium
Educational content, not investment advice. Risk warning: trading forex, CFDs, gold and crypto carries a high level of risk and may not be suitable for everyone. You can lose more than you put in. Souq Daily is an education platform. Nothing here is investment advice, a recommendation or an offer, and past performance does not predict future results.