Understanding Trading Order Types

📘 Understanding Trading Order Types (Without the Headache)

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Let’s be honest: trading order types sound scarier than they are. But if you're serious about making money (or keeping it), you need to know the difference between a limit, a stop, and a please-help-me-I-just-market-bought-the-top.

At TEFS, we give traders real capital to trade with — but you need to bring your brain. Mastering order types = mastering risk = not blowing your funded account.

Ready? Let’s break them down like a trader breaks resistance levels — cleanly, with confidence, and maybe a little sass. 😎

🧰 Core Trading Order Types

📈 Market Order

“I want it NOW. I don’t care what it costs.”

●    Definition: Executes immediately at the best available price.

●    Best for: Speed, not control.

●    Example: Nvidia is pumping and you FOMO in with a Buy Market order. You're in instantly. Hopefully not at the top.

●    😅 Bonus Joke: Like shouting "Surprise me!" to a bartender. You’ll get something — but will you like it?

💵 Limit Order

“Only trade if the price is exactly (or better than) what I want.”

●    Definition: Executes at your chosen price or better.

●    Best for: Entering or exiting at your price.

●    Entry Use: Great for catching pullbacks or dips.

●    Exit Use: Set your take-profit levels.

●    Example: You want to buy Apple at $190 (it's at $200 now). Set a Buy Limit at $190. If price comes down, you're in.

●    😅 Bonus Joke: Like waiting for your ex to apologize. It might never happen — but if it does, it’s on your terms.

⛔ Stop Market Order

“Trigger a market order if price hits my panic (or breakout) level.”

●    Definition: Becomes a market order once the stop price is reached.

●    Best for:

○    Exiting losing trades quickly (stop-loss)

○    Entering momentum trades (stop-entry)

●    Example (Exit): Bought Tesla at $250. Set a Sell Stop Market at $240. If it drops, your order activates and sells at market, no questions asked.

●    Example (Entry): Tesla is at $250, and you want in if it breaks $260. Set a Buy Stop Market at $260 — you’ll enter once the breakout happens.

●    😅 Bonus Joke: It’s like pulling the fire alarm. No time to negotiate — just get out.

🔄 Stop Limit Order

“If it hits my stop, submit a limit order. Don’t go lower than my floor.”

●    Definition: Becomes a limit order when the stop is hit.

●    Pro: More control over price.

●    Con: Might not fill in fast-moving markets.

●    Example: Stop at $95, Limit at $94. If price hits $95, your sell order activates — but won’t sell for less than $94.

●    😅 Bonus Joke: Like saying, “I’ll only bail if the lifeboat has Wi-Fi.”

🧮 Trailing Stop Order

“Follow the price up, but limit how far it can fall.”

●    Definition: Stop price adjusts as the market moves in your favor.

●    Best for: Locking in profits during rallies.

●    Example: Buy at $100, set a $5 trailing stop. Stock rises to $120, your stop is now $115. If price falls back, you exit with gains.

●    😅 Bonus Joke: Like a dog leash that gets longer if you're jogging, but tightens the second you trip.

🧷 Bracket Order (Yes, TEFS Has These!)

“One trade. One entry. Two automatic exits. No stress.”

●    Definition: A combo order with:

○    Your entry price

○    A take-profit (limit)

○    A stop-loss (stop or stop-limit)

●    Example:

○    Buy Nvidia at $450

○    Take-profit at $470

○    Stop-loss at $440
 → If either exit triggers, the other is automatically cancelled. Clean. Controlled. Fundable.

●    In TEFS: Bracket orders help you manage risk and meet drawdown rules automatically. Use them to show you’re serious about staying funded.

●    😅 Bonus Joke: Like packing both sunscreen and an umbrella. Whatever happens — you’re ready.

🛍️ Basic Instructions (The "Do Something" Buttons)

●    🟢 Buy Order: “Get me in.”
 Example: Buy 100 shares of Microsoft now.

●    🔴 Sell Order: “Get me out.”
 Example: Sell 100 shares of Microsoft. Limit, market, or panic mode — your choice.

⏳ Time-in-Force (TIF) Orders

📌 Pro Tips for Funded Traders at TEFS

✅ Use stop market for fast exits or momentum entries
✅ Use limit orders to enter on pullbacks (don’t chase candles!)
✅ Use bracket orders to set it and forget it — helps protect capital and avoid max drawdown
✅ Don’t rely on hope — hope doesn’t pass funding challenges

💼 Want to Trade Like a Funded Pro?

At TEFS, we don’t just teach you order types — we fund you to use them in the real market. You bring the strategy. We bring the capital.

💰 Ready to get funded and trade with real money?
👉 Click here to apply at TEFS now

Trade smart. Trade funded. Trade with TEFS. 🎯