Types or orders
There are two types of order in internet trading: Market orders and pending orders. In the FIBO Group Holdings Ltd, all orders are GTC (good till cancelled). A GTC order remains valid as long as it is not cancelled. The traders never withdraw registered orders from a client unless there are not sufficient financial means for completion of the order. For this reason, the trader must always keep up to date with the orders that are currently in his account.
This is the form of order used most often. Here the order is issued for the buying or selling of capital goods at the current market price.
- Limits order: this type of order shows that the investor determines the price limits within which he would like to buy or sell the relevant order. A limited sale order will only be carried out when the market reaches or exceeds the limit price while a limited buy order will only be carried out when the market reaches or falls short of the limit price. A “profit-taking order” is likewise a limited order.
- Stop order: these are orders for opening a position at a price that is above the current market rate for buying or at a rate lower than the market rate for selling. This type of order is also applied for “stop-loss”.
- Trailing stop: for placing this kind of order, the price changes according to current market conditions. As a rule, this is used to pull the limit price of an order along the trending line of the market when a position is profitable.