Types Of Order In Metatrader 4

Trade terminal helps brokers to prepare and make orders to fulfill trade operations. It also allows to control and manage open positions state. Several types of trade orders are used for these purposes. Order is a command which a client gives to his broker. Orders are distinguished for two main types: market order and pending order.

Market order: an order made by a client who wants to buy or sell a currency pair at current price. This order's fulfillment causes closing or opening of a trade position. Buying is carried out for ask price, selling is carried out for bid price. There are also Stop-Loss and Take-Loss orders that can be adjusted to Market order.

Pending order: an order to buy or sell a currency pair in future at a specified price. This order is used to open a position. There are four types of pending orders:

• • Buy Stop: an order to buy at or above a specified price.

  • Buy Limit: An order to buy at or below a specified price.

  • Sell Stop: An order to sell at or below a specified price.

  • Sell limit: An order to sell at or above a specified price.

Besides, there are "Take-profit", "Stop-loss" and "Trailing-Stop" orders.

• • Take-Profit is an automatic order to get profit if price reaches a forecast level

  • Stop-Loss is an automatic order to close order at specified price in case price starts moving to unprofitable direction.. It is possible to use Trailing-stop for automatic replacing of Stop-loss order.

  • Trailing-Stop is a very useful tool to automatically move your Stop-Loss at specified point without keeping an eyes on market changes.

Disclaimer

Foreign Exchange trading carries a high level of risk, and may not be suitable for all investors. Before deciding to trade any Forex Exchange financial instruments you should carefully consider your investment objectives, level of experience, and affordable risk. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with the Foreign Exchange trading, and seek advice from an independent financial advisor if you have any doubts.