What's the Difference between Sell Limit Stock Order and Buy Limit Order in Stock Indices Trading?

What's Sell Stop Order?

What Does Sell Stop Stock Order Mean?

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

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

What's Sell Stop Order Example?

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

The price of the instrument then went down to hit sell stop pending order, and afterward price continued to move downward.

What's a Sell Stop Stock Order?

Sell stop order is also used to set a pending order when there's a consolidation chart pattern on a chart. The Sell stop order is used to set a sell order just below the consolidation pattern as illustrated below so that if there is a price break out downward after the consolidation pattern then a new sell order is opened - by the sell stop pending order once the sell stop price that is set is reached.

Setting Sell Stop Order in a Break-out - Sell Stop Order Definition Explained & Examples

A Sell trade was generated from the above sell stop pending order when the price broke a support level in the first examples & when there was a downwards price break out after a market consolidation chart pattern on the second sell stop order examples.

What's Buy Stop Order?

What Does Buy Stop Stock Order Mean?

A Buy Stop Order is an order to buy indices after the price rises to the set buy stop price area.

The buy stop pending order is always set to buy above existing market prices.

Buy Stop Order

In the examples explained below a buy stop order was placed to buy at a level above current market price.

The price of the instrument then went up to hit buy stop pending order, & afterward price continued to move upward.

What's Buy Stop Stock Order?

Buy stop order is also used to set pending order when there's a consolidation chart pattern on a chart. Buy stop order is used to set a buy order just above the consolidation pattern as illustrated below so that if there is a price break-out upwards after the consolidation pattern then a new buy order is opened - by buy stop pending order once the buy stop price that is set is reached.

Placing Buy Stop Order in a Break-out - Buy Stop Order Definition Explained & Examples

A Buy trade was generated from the above buy stop order when the price broke a resistance level in the first examples & when there was an upwards price break out after a market consolidation pattern on the second buy stop order examples.