๐น Order Types: Market, Limit & Stop-Limit
Understanding order types is key to managing your trades correctly. Each type helps you enter or exit the market based on your strategy.
๐ธ 1. Market Order
This order buys or sells immediately at the best available price.
๐ข Example: You want to buy BTC now at any price โ You choose Market Order.
โ Fast execution
โ Less control over price (you get what the market offers)
๐ธ 2. Limit Order
This order lets you set the exact price at which you want to buy or sell. The trade only executes if the market reaches your chosen price.
๐ข Example: BTC is at $60,000. You want to buy at $59,000 โ You place a Buy Limit Order at $59,000.
โ More control
โ It might not get filled if price doesnโt reach your level
๐ธ 3. Stop-Limit Order
This is used to protect yourself (stop-loss) or enter trades when price breaks a level.
๐ข Example:
BTC is at $60,000. If it drops to $58,000, you want to sell to avoid more loss โ You place a Stop-Limit Sell Order at $58,000.
โ Great for risk management
โ Helps automate entries/exits
๐ In Part 4, weโll look at the most common trading styles (Day Trading, Scalping, Swing...) and how to choose what fits you.
#Lesson1 #Part3 ย #OrderTypes #CryptoEducationNow ย #BinanceSquare
