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