If you are a budding trader or just new to the MetaTrader 5 platform, you will find it confusing to enter different trades or set up the perfect one.
There are two main categories of order types. These are the Pending Orders and the Market Execution.
Market Execution order refers to the execution accomplished at the next available market price.
Therefore, as soon as an order is placed, it is then filled with the price available at the time of filling.
Pending order, on the other hand, means that you are placing an order at the market that ought to be filled in at a later time.
This is done after the price goes up or down at the price level that you have set.
The two kinds of a pending order, the stop orders, and the limit orders. Stop order is done ‘on-stop entry’ order.
Meanwhile, limit orders can either be a limit profit target order or a limit entry order. As for MT5, the profit target order is also known as “Take Profit”.
Take Note: Pending orders allow you to check the ‘expiry’ box if the pending order expires after some time if the order doesn’t get filled with something that you have expected it to have.
If the tick box remains unchecked, or when you are at the default state, your order remains pending until such time that you cancel it.
You must remember these things as these are important factors in trading.
Long – if you are trading long or want to ‘get long’, you are thinking that the market will move higher than its current state. That means you are a ‘bull’ or ‘bullish’.
Short – this means that you are trading short or want to get short. You are thinking that the market can still move lower, therefore, you are a ‘bear’ or ‘bearish’.
Placing Market Orders in MetaTrader 5
For you to execute the buy market order, you first need to visit the MetaTrader 5 platform then click the ‘New Order’ tab located at the top left side of the screen.
Another window will pop-up and make sure that the order type is ‘Market Execution’.
After that, choose the ‘Buy by Market’ or if you want to sell in the market, you can click the ‘Sell by Market’.
Placing Stop Order in MetaTrader 5
Let’s say that you want to enter a trade with an ‘on stop’ order. That being said, you are about to enter the market with a stop entry.
If this is the case, you are expecting the price to move a bit higher but also want to ensure that the buy stop is above the current price in the market.
So, if you are expecting the market to go lower then you must place a sell stop entry right below the market price.
Once the market continues to move in the direction that you’ve predicted, it will fill your stop entry order after filling it. You can also create a stop entry order with an amount greater than the actual bid.