Let’s look at an example to see how conditional orders can be used to mimic common order types.īy using Stop-Entry Orders, traders are able to trade a breakout on the market. This limit order will, then, only be filled once the last traded price reaches the preset order price. Once the preset trigger price meets the Last traded price, a conditional market order will be filled immediately, while a conditional limit order will be submitted to the order book and pending for execution. They are advanced orders that submit automatically once specified criteria are met, namely a trigger price. The advantage of a limit order is that it can guarantee the transaction at the specified price, but it also faces the risk of the order failing to be executed. In addition, limit orders can also be used to partially or fully close a position. Hence, as a market maker, the trader will pay a 0.01% Maker fee. When submitting a limit order, if there are no orders in the order book that are better than or equal to the order price to be matched, the limit order will enter the order book to await execution which in turn will increase the depth of the mar ket. Limit Order allows traders to set the order price, and the order will be filled at the order price or an executed price better than the order price.įor Buy Limit Orders, the order price must be set at a price lower than the last traded price, or it would be filled immediately as a market or der (a 0.06% trading taker fee will be charged.) T he same applies to Sell Limit Orders, but the order price must be higher than the last traded price. When traders need to enter or exit a volatile fast-moving price market, market orders are generally used. Although market order guarantees the execution of the order, the execution price cannot be guaranteed because the market price may fluctuate rapidly.
Traders do not need to set the price which allows the order to be immediately executed. The market order will be executed at the best price available in the order book at the execution time. When the last traded price reached the trigger price, a conditional market order will be immediately executed, while conditional limit order will be placed in the order book to await executionĬonditional Orders are automatically submitted if specified criteria are met. When the last traded price reached the set limit order price, the order will be executed When the last traded price reaches the set order limit price, the order will be executed Traders are able to set their leverage and contracts quantity and set the order price.
In fast-moving price conditions, traders may enter or exit the market immediately The order will be immediately filled at the best available price from the order book. However, though the execution of the order is guaranteed, the price at which the order will be executed at is not certain, since prices may change quickly.įilled at the best available price from the order book Traders are able to set their leverage and contracts quantity, but not the executed price Bybit provides three different order types, Limit orders/market orders/conditional orders to meet the trading needs of traders.