Orders
Stop order
An order that triggers once price passes a level, then executes at market.
A buy stop rests above the current price and a sell stop below. When price trades through the level the order activates and is filled as a market order — which is how breakout entries and protective exits both work.
Because a triggered stop becomes a market order, it inherits slippage risk. A stop-limit avoids that by refusing worse prices, but it may not fill at all, which makes it a poor choice for a protective exit.
Taught in these lessons
- Market orders vs limit orders — Forex Foundations
- Risk management basics — Forex Foundations
- Choosing a timeframe — Charts & Execution
- Trend and structure — Charts & Execution
- Support, resistance & levels — Charts & Execution
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