| ORDER TYPE | WHAT IT DOES | EXAMPLE |
| Market order | - Buys or sells immediately at the current market price.
- Best for: When you want to get in or out quickly.
- Trade-off: You don’t control the exact price.
| You buy a share right now at whatever price is available (e.g. R100 but could vary slightly). |
| Limit order | - You set the exact price you’re willing to buy or sell at.
- Best for: When price matters more than speed.
- Trade-off: Trade only happens if your price is reached.
| Only buy if the price drops to R95. If it never reaches R95 → no trade. |
| Take-Profit order | - Automatically locks in profit when a target price is reached.
- Best for: Securing gains without watching the market.
- Trade-off: You might miss further upside.
| Bought at R100 → set take-profit at R120 Price hits R120 → it sells and locks in profit. |
| Trailing Stop order | - A stop-loss that moves with the price as it rises.
- Best for: Protecting gains while letting profits run.
- Trade-off: Can trigger if price dips temporarily.
| Set trailing stop at 10%, Price rises from R100 → R120 → stop moves up, If price drops 10% from peak → it sells. |
| Stop-limit order | - Combines a stop trigger + a limit price
- Best for: More price control than a stop order.
- Trade-off: Might not execute if price moves too fast.
| Stop = R90 (trigger), Limit = R88 (minimum selling price). When R90 is hit → it tries to sell, but not below R88. |
| OCO (One-Cancels-the-Other) | - You set two linked orders (e.g., stop-loss + take-profit).
- Best for: Managing both risk and reward at the same time.
- Trade-off: Once one executes, the other is cancelled.
| Take-profit at R120. Stop-loss at R90.If one triggers → the other disappears automatically. |
| Algorithmic Orders | - What they do: Use rules or strategies to place trades automatically over time.
- Best for: Large trades or more advanced strategies.
- Trade-off: More complex to set up.
| Examples of what they can do: - Split a large order into smaller trade
- Execute trades at specific times or interval
- Follow momentum or pricing pattern
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