Buy Stop Indices Order and Sell Stop Indices Order Definition Explained with Examples
Buy stop stock indices orders and Sell stop stock indices orders are stock indices orders used to buy above or below the current market indices price.
These stock indices orders are popularly used to trade when there is a consolidation stock indices chart pattern - placing a buy stop to buy above the consolidation stock indices chart pattern and placing a sell stop to sell below the consolidation stock indices chart pattern.
Buy Stop Indices Order and Sell Stop Indices Order after a Consolidation Indices Chart Pattern
These stop stock indices orders are stock indices orders to buy above the stock indices trading market or to sell below the stock indices trading market.
- Buy Stop Indices OrderAn order to buy at a level above the current market indices price.
- Sell Stop Indices OrderAn order to sell at a level below the current market indices price.
Buy Stop Indices Order and Sell Stop Indices Order Definition Explained with Examples
These buy stop and sell stop indices orders are used by indices traders wanting to trade a setup like the consolidation stock indices chart pattern but they do not want to wait and watch the indices prices all day long until there is a indices price breakout.
Therefore, indices traders will set these pending buy stop indices orders and sell stop indices orders above and below the current stock indices price and a indices price breakout in any of these direction will execute one of these pending stop stock indices orders and a buy indices trade or a sell indices trade will automatically be opened.