A Stop Order is an order type used to limit potential losses in your investments (stop loss) or to protect your existing profit. In this order type, a "trigger price" is first determined for the transaction to come into effect; when the market price of the asset reaches this level, the order becomes active. Its difference from other order types is that it allows orders to be entered in advance against the market direction as well, in order to provide risk management.
You can carry out your Stop Order transactions on the Arbitex platform via the 'Buy/Sell' page in two different types specified below:
Stop-Limit Order: It is an order type for which you need to determine a trigger price, a limit price, and a transaction quantity in order to trade. When the market price reaches your selected trigger level, your order is forwarded to the order book (board) over the limit price you specified, and the transaction is executed when there is a user matching this price in the market.
Stop-Market Order: It is an order type created by entering only a trigger price and a transaction quantity. The moment the price of the asset reaches your determined trigger level, your order is activated and executed instantly over the most current market price at that moment.