ypes101 # Types of Orders 101: Understanding the Basics When Trading Stocks or Other Securities, there are different types of orders you can use to buy or sell. Here is a quick overview of the most common ones: ## Market Orders - Buy/Sell immediately at the current market price - Fastest execution but no price guarantee - Best for highly liquid stocks when speed is a priority ## Limit Orders - Set the maximum price you are willing to pay (buy limit) or the minimum price you will accept (sell limit) - Guarantees the price but not execution - Good for less liquid stocks or when you want to control the price ## Stop Orders - Become market orders when a specified price is reached - Stop-loss orders help limit potential losses - Entry stop orders are triggered when the price moves positively ## Stop Limit Orders - A combination of stop and limit orders - Triggered at the stop price but executed only at the limit price or better - More control but risk of non-execution ## Other Special Orders - **Good Till Canceled (GTC)**: Remains active until executed or canceled - **Immediate or Cancel (IOC)**: Executes what it can immediately, cancels the rest - **All or None (AON)**: Must execute the full quantity or none at all. Understanding these types of orders helps you trade more effectively based on your strategy and risk tolerance. Any of them