|
|
| |
 |
ORDER TYPES
For Standard Trading and Mini Trading Accounts, InterForex supports the following Order Types:
Market Order (Buy/Sell)
An order buy or sell the leading currency in a currency pair at the current market price. For example, for the EURUSD (Euro v. US Dollar) currency pair, an order to Buy (at the "Ask" price) buys Euro and sells the US Dollar. Conversely, an order to Sell (at the "Bid" price) sells the Euro and buys the US Dollar.
A "Trader Range" can be set when opening a position (executing a Market Order). The "Trader Range" is the difference, in pips, from the current market price that the trader is willing to accept if the market moves while the trade is being processed.
Entry Stop / Stop
A "conditional" order to buy or sell a currency (in a currency pair) when a specific price target is reached. A buy Entry Stop order will buy the leading currency in a currency pair when the Ask price reaches a target that is above the current price, and a sell Entry Stop order will sell the leading currency in a currency pair when the Bid price reaches a target that is below the current price.
An Entry Stop / Stop order is usually used to limit the loss on a specific position.
Entry Limit / Limit
A "conditional" order to buy or sell a currency (in a currency pair) when a specific price target is reached, and the opposite of an Entry Stop or Stop order. A buy Entry Limit order will buy the leading currency in a currency pair when the Ask price reaches a target that is below the current price, and a sell Entry Limit order will sell the leading currency in a currency pair when the Bid price reaches a target that is above the current price.
An Entry Limit / Limit order is usually used to buy or sell at pre-set advantageous levels, adding to an existing position or taking a profit. Limit orders are useful to prevent a trader from "marrying" a position, or being unable to take the profit at the right price.
Hedging Positions
A position is "hedged" when a position is opened in the opposite direction of an already-open position.
Close Position
An order that closes a position at the current market price.
Close Position with Hedge
An order that closes an existing position and opens a new position counter to it.
All orders are good until cancelled, except in special situations such as a Margin Call.
|
|
