Types of trading orders – practical application

Andrey StoychevDealer

The information, opinions and examples in this presentation are provided solely for informational purposes. They are not intended to serve as a recommendation for trading and/or restrain from trading with financial instruments.

Deltastock does not provide investment advice in this presentation. The data provided may contain third party information, we consider accurate and comprehensive. Neither Deltastock, nor the authors will be held liable for:

Investment decisions taken by you, based and/or influenced by the information contained in this presentation;

Losses sustained and/or unrealized profits, caused by the information contained in this presentation.

Trading financial instruments, and particularly derivatives, as well as trading on margin carry a high degree of risk. Leverage may amplify not only your profits but also your losses. Trading on margin is not suitable for anyone.

Risk WarningRisk Warning

Every explicit instruction to execute a transaction under certain conditions

Types of orders:

- market;- limit;- stop;- one cancels the other (OCO);

Order

Definition:- An order executed on the current market price. Partial

execution or order cancellation is allowed, in case of low liquidity at the time of execution.

Market order in the L2 Module:- can be executed in part or in full depending on the

amount of counter orders; the execution price will be equal to the weighed average of these orders;

- in case of a partial execution of a market order, the amount that has not been executed is cancelled.

Market order

Андрей СтойчевДилър

Definition:- An order executed in part or in full when a price level previously defined by it has been reached. In case of a partial execution, the order remains active until executed in full within its validity period or until cancelled.

Limit order in the L2 module:- executed only at the specified price and only with Deltastock as a liquidity provider;- when another liquidity provider is used, the order is executed as a market order when the requested price is met and with the provider first to quote that price.

Limit order

- in case of a partial execution of a limit order in the L2 module, the remaining amount constitutes a new limit order, valid until executed or cancelled.

Limit order

Definition:- An stop order transforms into a market order when a previously defined price level by it has been reached. Executed in part or in full at the current market price.

Trailing stop:- a stop order for a position, implemented by setting a parameter to keep it at an offset from the current market prices. The price specified by this order moves following the position at the specified offset.

Stop order

Stop order

Possible pricesfor execution

- limit and stop to a position – placed together or separately with an existing position;

- one cancels the other (OCO) – two orders placed together simultaneously – a limit and a stop; when either one is executed, the other one is cancelled;

- conditional order – placed with an already confirmed limit, stop or OCO order. It is executed only if a certain condition is met;

- time order – valid from a specified initial date and time

Other types of orders

- for the day – valid until the end of the current business day for the instrument;

- until cancelled – the order is valid until executed or manually cancelled;

- until date –valid until the end of the business day specified in the order.

Order validity

The trend is holding; I’ll buy at the next consolidation

I’m glad I didn’t wait I’ll buy again; the price is lower than the one I bought at the

last time

Yes, the prices are climbing up; I’ll keep an eye on the

market

Too bad, there was no consolidation but if I wait too long I won’t profit from the

trend. I’ll buy!

I’ll use the correctionto increase

my positions

Great, I’ll double up at theseprices

That’s terrible. If it doesn’t improve soon, I’ll sell

I can’t believe this, it fell down 40%; this is an

absolute bottomOkay, let’s wait for a rebound.

This investment is getting reeeealy long-term

That’s enough. I’m selling.

What the hell is the government doing about this?

I’m glad I sold everything.

It’s going to fall again

I warned you.

What’s going on?!?!

No way!?!?

More crazy people who want to loose their

money

I knew it would turn out like this;

I shouldn’t have sold

Final Words

•Thank you for your attention and if you have any questions do not hesitate to ask!

•If you have a suggestion for a future seminar, please send it to me at: andrey@deltastock.bg

We wish you successful trading!Dealtastock Team