Forex Trading Stop and Limit
- 9월 05, 2017
- by
Forex Trading Stop and Limit
Stop is an order placed at a price lower than the current price, and Limit is an order placed at a price that is more favorable than the current price.
Stop means stop something that is going to be disadvantageous, and StopLoss is what stops a transaction from getting lost as well.
Limit is used in trading terms to set the price or amount to be paid.
In a sell order, the order placed at a lower price than the current price becomes a stop order and the order placed at a price higher than the current price becomes a limit order.
On the other hand, in a buy order, the order placed at a price lower than the current price becomes the limit order, and the order placed at a price higher than the current price becomes the stop order.
StopLoss
StopLoss is to stop the loss from continuing.
If the price moves in the opposite direction to the position and the loss occurs, the loss is fixed and the position is cleared to stop the loss from becoming larger.
It enters the market place order when it reaches the conditions such as the specified price or loss amount.
When the Stop Losing order is executed, the actual closing price is equal to or worse than the set stop price.
The difference between the set price and the actual price is called Slippage.
Sleepy papers will become larger as price fluctuations increase and gap fluctuations occur.
0 개의 댓글:
댓글 쓰기