Limit Order is an order where traders can set a specific buying or selling price. The order will be filled if the price matches or is better than the specific price. Traders normally use this order type when price is prioritized over execution speed. If the trade order is matched immediately against an existing order on the order book, it removes liquidity and the taker fee applies. If the trader’s order is not matched immediately against an existing order on the order book, it adds liquidity and the maker fee applies.
By using limit orders, traders are able to buy or sell at a price that is better than the current market price. However, a limit order may not execute immediately and are not guaranteed to execute.
A Market Order is a type of order that is executed immediately at the current market price. Traders normally use this order type when execution speed is prioritized over price. The market order guarantees the execution of orders but not the execution price as it may fluctuate depending on market conditions.
Trigger Limit Order
A Trigger Limit Order will be placed when the market reaches the Trigger Price. This can be used to stop loss or take profit.
Stop Market Order
A Stop Market Order is an order that can be used to take profits or stop losses. They become live when the market price of a product reaches a designated stop-order price and is then executed as a market order.
For example, a trader who buys over 2,000 long positions at the price of $8,000 would like to take their profits when the price reaches $9,000 and cut their losses when the price reaches $7,500. They can then place two stop market orders, which will be automatically triggered at the market price the moment the < $7,500 or > $9,000 preconditions are met.
The stop market order may result in some slippage but it ensures that the order is always filled.
Trailing Stop Order
A Trailing Stop Order is an order for tracking market prices and its trigger price may change with latest market fluctuations.
A sell Trigger price = maximum market price - user defined callback range (price gap) or maximum market price (1 - user defined callback rate%)
A buy Trigger price = minimum market price + user defined callback range (price gap) or maximum market price (1 + user defined callback rate%)
Trail orders allow users to define a pre-set price on Trailing Stop Order and the system will start calculating the trigger price only after the pre-set price is activated.
Identification for Trailing Stop Order
Callback rate/range: The callback range is the main condition for calculating the actual trigger price. The actual trigger price will be calculated based on the highest/lowest price of the specified price type after the order activation and the callback margin.
Quantity: the amount of orders placed on commission
Price type: You can select the latest traded price, reasonable price or index price as the criteria to activate and trigger trailing orders.
Activation price: Activation price is the activation condition of a trailing order. When the price of the specified price type reaches or exceeds the activation price, the order will be activated. The system will only start calculating the actual trigger price upon activation. If the activation price is not defined , the order will be activated upon placement.
Case 1 (storm pull and sell the high): The user wants to sell BTC without selecting the activation price (i.e. activating as soon as the order is placed) and the latest deal price is 30,000.
Then one may set the parameters as follows.
【Callback Range - Price Distance】2,000 USDT
【[Price Type】Latest Deal Price
In the event where BTC keeps going up to the highest point of 40,000 after the order is placed and then retraces to 38,000, reaching the retracement condition (40,000 - 2,000 = 38,000), the system decides for the user to sell at the market price at 38,000.
Case 2 ( plunge and buy the dip): The user wants to buy BTC and the latest deal price is currently 40,000.
Then one may set the parameters as follows.
【Activation Price】 30,000
【Quantity】 1 BTC
【Price Type】Latest Deal Price
In the event where BTC keeps falling to 30,000 after the order is placed, the trailing is activated, it then falls all the way to 20,000 and then bounces back to 20,000*(1+5%)= 21,000, reaching the retracement condition (5%), the system decides for the user to buy at the market price at 21,000.
Market to Limit Order
Orders are submitted as market orders and executed at the best price in the current market. If the order is only partially executed, the remaining order will be canceled and resubmitted as a limit order with the same price as the executed part.
Fill or kill Order
A fill-or-kill (FOK) order is an order to buy or sell crypto immediately at a specified price. If the price is unavailable at the moment, the order will be canceled.