How to Place a Pending Stock Trading Order In MT4
There are different types of stock orders which a stock trader can use to trade in Stock.
At the foundation of successful stock trading is making use of the correct stock trading order for its correct purpose. The most important things to remember about is this: Always understand the stock orders you place.Never place a stock order which you are not entirely knowledgeable about. Given below are the some basic definitions of the commonly used types of stock orders:
Types of Stock Trading Market Orders and Pending Stock Trading Orders
This is the most basic type of stock order, market order is used to buy or sell at the current ask or bid stock trading quote stock price. This refers to the quoted stocks price that appears on your stock trading platform.
This type of stocks trading order is used for buying or selling according to the present exchange rate quotation in Stock Trading, the execution is instant. The minute you want to enter a position you can buy and sell stock at a click of a button using a stock market order.
Entry Stock Trading Orders
These are stock orders used to open a new trade position after the stocks trading market reaches a stock price specified by the stock trader.
Entry orders are used to buy or sell stock when it attains a certain stocks price target.
When a specific stocks price level is reached or broken then a stock entry order is executed.
These Entry Stock Trading Orders are used to enter a stock trade at a specified stocks price level. It is almost impossible to monitor the stocks trading market every second and this is why an entry order can be handy. If you feel the stocks trading market may take a certain action, such as break through a particular stocks price level that it has been touching but it has not been able to break, you would want to use an Entry Limit Stock Trading Order. Once the stocks trading market crosses your specified level, your entry limit stock trade order is executed.
There are two different types of entry orders - limit stock trading order and stop entry order.
These entry orders are also known as pending stock orders.
Entry Limit Stock Trading Order
An order to buy or sell at a certain limit.
An entry limit stock trading order can be used to buy below the current stocks price or sell above the current stock price.
When buying, entry limit is executed when the stocks price falls to your limit level.
When selling, entry limit is executed when the stocks price rises to your limit level.
These Entry Limit Stock Trading Orders are placed by stock traders when they expect the stocks trading market to bounce back after reaching the stocks price level at which the entry limit was placed.
- Buy Limit Stock Trading Order
Specifies to buy at a level below the current market stock price
- Sell Limit Stock Trading Order
Specifies to sell at a level above the current market stock price
Entry Stop Stock Trading Order
An entry stop order to buy above the current stocks price or to sell below the current stock price.
When buying, entry stop order is executed as the stocks trading market goes up and hits the buy stop level.
When selling, entry stop order is executed as the stocks trading market goes down and hits the sell stop level.
- Buy Stop Stock Trading Order
Specifies to buy at a level above the current market stock price.
- Sell Stop Stock Trading Order
Specifies to sell at a level below the current market stock price.