Understanding Order Types
ByteExchange offers several order types to help you execute trades with precision.
Market Order
Executes immediately at the best available price. Use when you want to buy or sell right now.
- Pros: Instant execution, guaranteed fill
- Cons: Price may vary due to slippage, especially on large orders
- Best for: Beginners, small orders, fast-moving markets
Limit Order
Lets you set a specific price. The order only executes if the market reaches your price.
- Buy Limit: Set a price *below* the current market price
- Sell Limit: Set a price *above* the current market price
- Pros: Full price control, no slippage
- Cons: May not execute if the market does not reach your price
- Best for: Patient traders who want a specific entry or exit point
Stop-Limit Order
A two-price order that combines a stop price (trigger) with a limit price (execution).
- When the market hits the stop price, a limit order is placed.
- The limit order executes at the limit price or better.
Example: BTC is at 65,000 USDT. You set a stop-limit sell with stop price 60,000 and limit price 59,800. If BTC drops to 60,000, a sell order at 59,800 is placed automatically.
- Best for: Protecting profits, managing risk, breakout strategies
Trailing Stop Order
A dynamic stop order that follows the price by a set distance (percentage or absolute value).
- If you are long, the trailing stop moves up as the price rises but stays fixed when the price falls.
- Triggers a market sell when the price drops by the trailing distance from its peak.
Example: BTC is at 65,000. You set a 5% trailing stop. If BTC rises to 70,000, your stop moves to 66,500. If BTC then drops to 66,500, the order triggers.
- Best for: Locking in profits during an uptrend
Order Time-in-Force
- GTC (Good Till Cancelled) — Stays open until filled or cancelled
- IOC (Immediate or Cancel) — Fills what it can immediately, cancels the rest
- FOK (Fill or Kill) — Must fill completely or not at all