Order types and profit / loss

Key idea: set the stop loss WHEN you open the trade.

Orders

• Market — fills now.
• Limit — waits for a better price.
• Stop — waits for price to pass a level.
• Stop loss / take profit — close the trade at a set level.

Example

Long 0.1 lot EURUSD at 1.1000 · 25-pip stop · 50-pip target ⇒ win +50 USD, loss −25 USD.