2.4 Market order; buy limit; sell limit; buy stop; sell stop; stop loss and profit targets Video Lecture | Forex: Learn and Master Trading (English) - Business Basics

welcome back to capex forex trading comm
in this video we're going to focus on a
different types of market orders that
you can execute along with stop losses
and profit targets now I've got two
charts here the one on the left is in an
uptrend and the one on the right is in a
downtrend now no matter which one of
these charts I'm trading if I want to
get into him at the current market price
which is highlighted here on the Left
chart and here on the right chart I will
have to execute an order type called
market order ok this type of order
allows me to get into the market at the
current market price okay and to do this
all I have to do is either click buy or
sell in this chart or buy or sell in
this chart if you haven't got this
one-click ability in your charting
software then simply bring up an order
ticket type in the amount of investment
and simply buy or sell at the current
market price now another type of order
that you can execute is called a buy
limit order okay now a buy limit order
is on type of order that anticipates a
bounce from a downtrend back in an
upwards direction so let's say I'm
anticipating for whatever reason the
market to bounce from this price level
which is ninety three point three one
four in an upward direction I want my
stop-loss to be just a few pips below
now a stop-loss will basically exit
another order which will take me out of
the market so it is basically the area
at which the market proves that I am
wrong so if this was going to continue
downwards and hits this product price
point I'm out of the market and I won't
lose any more money now if it bounces in
an upward direction from this point then
let's say I want my profit target to be
here so to execute this order I need to
bring up an order ticket I need to
select pending order in the tight and
make sure that buy limit is set in the
order type then you set your market
price which at this point is ninety
three point two one four so select that
and press place ok now I can go into
this order modify it to put an
appropriate stop-loss in here
a profit target in there or I can delete
the order altogether now the opposite
applies to a sell limit order okay
remember this is a buy limit this is a
sell limit so let's say that I
anticipate the market to bounce back in
a downwards direction from a current
uptrend and I want my stop-loss to be
here and I want my profit target to be
there okay so the same applies market
execution pending order you select sell
limit this time and the price level
would be one point six six two seven
three so one point six six six two seven
three place okay so I'm just going to
leave the lead that order because I'll
just be repeating in terms of modifying
the order exactly as we said before now
the last two types of orders are called
the buy stop order so a buy stop order
allows you to get into the market at
this price level but to continue upwards
so what I want is my profit target to be
here but my stop-loss to be here so at
the point at which the market hit this
middle line here which is my entry line
that's where I want my order to be
triggered and I want to trade in an
upwards direction okay so it's slightly
different to what we're just done
earlier so select new order pending
order by stop I select the level one
point six six 207 in this case okay and
there you go there's your ticket okay
and the last or type of order is called
a sell stock which is exactly the same
but the other way around so what I want
is for this order to be executed when
the trend continues to go down was
because that's what I'm anticipating at
this price level I want my stop-loss to
be here and I want my profit target to
be down here okay so I'll go into a new
order ticket again go to pending order
select sell stop and then type the
appropriate price in and place that
order okay so the the orders change that
they're slightly different okay but it's
very crucial for you to understand that
a buy limit order but
anticipate the down tread to go in an
upward direction a sell limit order
anticipates the trend to bounce back in
a downwards direction a buy stop order
anticipates the current uptrend to
continue and a sell stop order
anticipates the current downtrend to
continue and of course with a market
order a simple market order you are in
the market at the current price that's
highlighted here or highlighted here
okay thanks very much and we'll see you
for the next lesson