What is the Difference between Sell Limit Indices Order and Sell Stop Indices Order in Indices Trading?

What is a Sell Limit Indices Order?

A sell limit indices order is an order to sell indices at a better stock indices price after stock indices price has retraced upwards from its current level.

A sell limit indices order is an order to sell after the stock indices trading market retraces upwards within a downward trend.

A sell limit is only executed when the stock indices prices moves upwards and retraces to the set sell limit level.

What is a Sell Limit Indices Order Example?

Sell Limit Indices Order definition - Entry sell limit is an order to sell indices at a certain stock indices price which is a retracement level where stock indices price is predicted to pullback to before resuming the original Indices trend.

Traders use sell limit indices orders to sell at better market indices price. These types of sell limit indices orders are available in most online trading platforms, for our example we will use the MT4 platform.

An entry sell limit indices order of this type can be used to sell above the stock indices trading market level (retracement pullback in a down indices trend Indices Trading market).

Sell limit - When selling, your entry sell limit is executed when the stock indices trading market rises to your set indices price. (retraces up)

Entry orders are placed by indices traders when they expect stock indices price to pullback downwards after reaching this level.

• Entry Sell Limit Indices Ordersell at a level above the current market level.

Sell Limit Indices Order

In the stock indices trading example explained and illustrated below a the sell limit indices order was placed to sell at a indices price above the current market indices price. This is the level for the stock indices price retracement.

Sell Limit Indices Order Placed to Sell above the Current Market Indices Price - What is a Sell Limit Indices Order?

The indices price then rallied, went up to hit the sell entry limit, and afterwards stock indices price continued to move downwards in the direction of the original Indices Trading downward trend.

Order now Changes to a Sell order - Sell Limit Indices Order Definition and Examples

When stock indices price hit the set sell limit indices order level the sell limit indices order changed to a sell order, this is therefore a good method to sell at a better stock indices price after a retracement.

What is a Sell Stop Indices Order?

What Does Sell Stop Indices Order Mean?

A Sell Stop Indices Order is an order to sell indices after the stock indices price rises to the set sell stop stock indices price level.

The sell stop indices order is always set to sell below the existing market indices prices.

What is a Sell Stop Indices Order Example?

In the examples below a sell stop indices order was placed to sell at a level below the current market indices price.

The stock indices price of the indices trading instrument then went down to hit the sell stop indices order, and afterwards stock indices price continued to move downwards.

What is a Sell Stop Indices Order?

The sell stop indices order is also used to set a pending stock indices order when there is a consolidation stock indices chart pattern on a stock indices chart. The Sell stop order is used to set a sell order just below the consolidation stock indices chart pattern as shown below so that if there is a indices price breakout downwards after the consolidation stock indices chart pattern then a new sell order is opened - by the sell stop indices order once the sell stop stock indices price set is reached.

Setting Sell Stop Indices Order in a Indices Trading Breakout - Sell Stop Indices Order Meaning Explained and Examples

A Sell trade was generated from the above sell stop indices order when the stock indices price broke a support level in the first example and when there was a downward stock indices price breakout after a market consolidation stock indices chart pattern on the second sell stop indices order example.