A Market Order is a buy or sell order to be executed immediately at the best available current market price. Market orders are often used when the certainty of execution is prioritized over the price at which the order executes.
When placing this order, the trader prefers the trade to happen immediately at the current price.
A limit order is an order placed to buy or sell at a specified price or better; because a limit order is not a market order, it may not be executed if the price set by the trader cannot be met during the period of time in which the order is left open.
Limit orders also allow a trader to limit the length of time an order can be outstanding before being canceled.
After placing the limit order becomes to market depth as a bid price (for “buy limit” orders) or as an ask price (for “sell limit” orders) and could be filled by opposite order from different market participant.
Once the stop level has been reached, the stop order is automatically converted to a market order.
Once the stop of a stop limit order is triggered, the limit order is automatically added to the book with price of limit level. If the market price does not reach the stop price, the order will not be triggered and will remain unfilled.
If the stop is triggered and the limit order is placed, but the market price does not reach the limit price, the order will also go unfilled.
If the market price is moving quickly enough and gaps above the limit price, there may not be enough matching bids or offers available between your stop and limit to fulfill the order.
Trailing Stop Market
A stop market order that can be set at a defined amount away from the current market price. A trailing stop for a long position would be set below the current market price. For a short position, it would be set above the current price.
A trailing stop is designed to protect gains by enabling a trade to remain open and continue to profit as long as the price is moving in the right direction, but closing the position if the price changes direction by a specified amount.
Once the stop is triggered, the trailing stop market order is automatically entered as a market order.
Trailing Stop Limit
A stop limit order that can be set at a defined amount away from the current market price. The limit price can also be set at a defined amount away from the stop price. A trailing stop for a long position would be set below the current market price; for a short position, it would be set above the current price.
A trailing stop is designed to protect gains by enabling a trade to remain open and continue to profit as long as the price is moving in the right direction, but closing the trade if the price changes direction by a specified amount.
Once the stop is triggered, the trailing stop limit order is automatically entered as a limit order.
Fill Or Kill
Defines the lifetime of the order such that the submitted quantity will either execute in fill immediately, or the entire order will be canceled. Also known as “All or None” (AON).
This type of order is usually used for a large quantity. The order must be filled in its entirety or canceled (killed).
IOC (Immediate Or Cancel)
An IOC order requires all or part quantity of the order to be executed immediately, and any unfilled parts of the order are cancelled. Partial fills accepted with this type of order, unlike a fill or kill order, which must be filled immediately in its entirety or be canceled.
The IOC orders might be used when a large order is submitted to the market. To avoid having a large order filled at a wide variety of prices, an IOC automatically cancels any part or the order that does not fill immediately.
A order where the size is not displayed. Orders with no displayed liquidity are referred to as “Hidden Orders.” Orders wherein displayed liquidity is greater than zero, but less than that of the full order size, are referred to as “Iceberg Orders”.
Reserve orders are large single orders that have been divided into smaller limit orders, for the purpose of hiding the actual order quantity.
The Reserve attribute, applied through the Display Quantity field, provides a way to submit large volume orders to the market in increments while publicly displaying only a specified portion of the total order size.