Stop Loss Gold Order Limit Gold Order
Stop Loss Gold Order Meaning
Stop Loss Gold Order is a type of order that is set after opening a trade that's intended to cut losses if the xauusd market goes against you in the opposite market direction.
Stop Loss Gold Order is a pre-determined point of getting out of a losing trade & it is meant to control losses in xauusd.
A stop loss is an order placed with your broker that will automatically close your open trade when the price of your open trade order reaches a pre-determined price. When the given level is attained, your open trade is liquidated.
These stop losses are intended to restrict the sum of money that trader can lose: by exiting the trade if a specific xauusd price that is against the trade is reached.
For example, a trader might open a buy trade and put a stoploss order of 20 pips, if the xauusd price moves against the trader by 20 pips the stop-loss will be filled & the trade will be liquidated thereby limiting loss to 20 points (pips) - Stop Loss Definition.
Limit Gold Orders: Buy Limit Gold Order vs Sell Limit Gold Order
Limit order definition - Gold limit is an order to buy or sell at a certain xauusd price which is a pullback area where xauusd price is predicted to pullback to before it resumes the original Gold trend. Traders use gold limit orders to buy or sell at better market price. Buy Limit Gold Order and Sell Limit Order - types of limit orders are available in most online trading softwares, such as MetaTrader 4 platform.
Buy Limit Gold Order and Sell Limit Order - A order of this type can be used to open buy below the xauusd market level (upwards trend retracement) or sell above the xauusd market level (downward trend retracement).
Buy limit - When buying, your gold buy limit order is executed when xauusd market falls to your set xauusd price. (retraces down) - buy limit order set below market xauusd price
Sell limit - When selling, your gold sell limit order is executed when xauusd market rises to your set xauusd price. (retraces up) - sell limit order set above market xauusd price
Limit orders are placed by traders when they expect xauusd price to bounce back after reaching this set level.
- Buy Limit Gold Order buy at a level below ruling market level.
- Sell Limit Gold Order sell at a level above ruling market level.
Buy LimitOrder Example
In the buy limit order example shown and described below, the buy gold limit order was placed to buy at a price below the ruling market price. Point B is point that it was set.
Buy Limit Gold Order Example - How to Use Gold Limit Buy Orders - Limit Gold Order Buy Example
The xauusd price then retraced and went down to hit the buy gold limit order, and afterward the xauusd price continued to move upwards in direction of the original Gold upwards trend. When the gold limit buy order was hit by price it changed into a buy order - How to Use Gold Limit Buy Orders.
Price Hits Buy Limit Gold Order, Limit Buy Order Now Changes to a Buy Order - How to Use Buy Limit Gold Orders
Sell Limit Gold Order Example
In the sell limit order example illustrated and explained below a the sell gold limit order was placed to sell at a price above the ruling market price. This is the level for the xauusd price pull-back.
Sell Limit Gold Order Example - How to Use Gold Limit Sell Orders - Limit Gold Order Sell
The gold price then rallied, went up to hit the sell gold limit order, and afterward the xauusd price continued to move down-wards in direction of the original xauusd downwards trend.
Price Hits Sell Limit Gold Order, Sell Limit Gold Order Now Changes into a Sell - How to Use Sell Limit Gold Orders
When the xauusd price hit the set sell limit order level the order changed in to a sell order, this is therefore a good technique to sell at a better xauusd price after a pull-back.
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