Order Types

A trade consists of at least two separate orders (one buy and one sell order). Trades can be executed using different order types and in different combinations, with the end result being offsetting orders to enter and exit the trade. The following are valid order types:

• Market Order (MKT): Buys or sells a quantity for a contract at the current best price. A market order will always get filled in an active market, and are used when you are positive you want the order placed. However, a Market order may be filled at a different price than what you specify, if there are other Market orders that need to be filled first before yours. With a Market order, you risk getting your order filled at a price other than what you've specified.
• Limit Order (LMT): Buys or sells a quantity for a contract at a specific price you define (the Limit Price), or better. Depending on the activity in the market, a Limit order may not get filled ... but if it does, it will be at the price you've specified, or at a better price. With a Limit order, you risk not getting your order filled at all.
• Stop Order (STP): Similar to a Market order, a Stop order buys or sells a quantity for a contract at the specific price you define (the Stop Price). However, the order will not be filled unless the specific price is reached. Once the price reaches the level you define, it becomes a Market order, and the order will always get filled in an active market (but like a Market Order, it may be filled at a different price than what you specified.) With a Stop order, you anticipate the price level at which you want the order filled, and the order "triggers" when the market trades at or past the stop price.
• Stop Limit (STP LMT): A combination of a Stop Order and a Limit Order. Buys or sells a quantity for a contract at a specific price you define (the Limit Price), or better, but only after the given Stop price has been reached. With a Stop Limit order, you have control over the price at which the order should be filled. However, you risk not getting your order filled at all if the stop price is never met.

The application also offers support for advanced order types:

• Bracket: This strategy will "bracket" your order with two opposite-side OCO orders. The bracket order will trigger if either a profit target level or a stop loss level is hit.
• Iceberg: When executing an order with a large quantity, an iceberg order divides the total quantity into a smaller visible portion on the order book. As the smaller quantity is filled, a new order is released until the full order quantity has been fulfilled.
• OCO: One-cancels-the-other order is a multi-part order that combines a stop order with a limit order. Once one of the orders is expected, the other is cancelled.
• Trailing Stop: The system will automatically move the stop order in the direction of your position by the number of pegs you identify.