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Understanding Market Orders

Craden20
Aug 30 2015 at 14:25
19 posts
Market Order
In the forex, a market order is the default option and would be quickly executed because it does not have instructions restricting the broker on the buy/sell price or the timeframe in which the order is to be executed. Because of this, at times we refer to the market order as an 'unrestricted order.'

Let us explain this further, a market order is executed once you have placed it. You could use the market price or current spot, or market price.A market order will become an open position immediately and could still suffer fluctuations in the market.This indicates that if the market rate goes against your direction, the value of your position will drop – this is said to be an unrealized loss. Should you choose to close the position at this value, you would realize the loss (it becomes real and you are charged the loss from your margin) and your account balance will be updated to show the new revised totals.
In the forex market, a market order is the first type of trade order and you use the market order to sell or buy a currency pair at the current market price. Currency pairs are sold at the BID price and bought at the ASK price. One good thing about using market orders is that a trader is sure to get the trade filled. If the trader absolutely wants to get out or into a trade, a market order is the best method of getting this done. The downside of using a market order is that slippage con occur (getting filled at a less favorable price). Market orders should only be used to enter trades when there is good liquidity in the market; otherwise, significant slippage could occur


Market orders are placed live at market, which means you will decide the enter the trade manually. Intraday traders and in particular scalpers are likely to use market orders to enter the market.
 
A market order guarantees execution, and it often has low commissions due to the minimal work brokers need to do
A buy or sell order in which the trader wants to execute the order at the best price currently available. Also known as “at the market”. If you can buy the EUR/USD at 1.3800 and sell the EUR/USD at 1.3798, those are the market prices with a two pip spread. If you buy “at the market”, you would be filled at 1.3800 and if you sell “at the market”, you would be filled at 1.3798

Xiantero
May 20 2016 at 15:46
45 posts
I have looked through some of your explanations... May I ask you, what is your target audience of such posts?

EbonyJones
Nov 24 2020 at 20:25
232 posts
Very nice writing. Many new traders can become beneficial by reading this article. Thank you for sharing this.

Raheemsterling22
Dec 09 2020 at 10:33
31 posts
Pretty interesting and informative words. I’m glad you decided to share this with other traders here.

Scarymaniak
Dec 28 2020 at 10:32
28 posts
A good understanding of the market order is quite essential in forex. And every trader should at least be familiar with the terminology and the aspects of it before starting with live trading.

GeorgeBischof
Dec 28 2020 at 19:22
318 posts
Every new trader should learn forex perfectly before investing their money in this risky market.

SteveHanks
Sep 08 2021 at 08:02
536 posts
Craden20 posted:
Market Order
In the forex, a market order is the default option and would be quickly executed because it does not have instructions restricting the broker on the buy/sell price or the timeframe in which the order is to be executed. Because of this, at times we refer to the market order as an 'unrestricted order.'

Let us explain this further, a market order is executed once you have placed it. You could use the market price or current spot, or market price.A market order will become an open position immediately and could still suffer fluctuations in the market.This indicates that if the market rate goes against your direction, the value of your position will drop – this is said to be an unrealized loss. Should you choose to close the position at this value, you would realize the loss (it becomes real and you are charged the loss from your margin) and your account balance will be updated to show the new revised totals.
In the forex market, a market order is the first type of trade order and you use the market order to sell or buy a currency pair at the current market price. Currency pairs are sold at the BID price and bought at the ASK price. One good thing about using market orders is that a trader is sure to get the trade filled. If the trader absolutely wants to get out or into a trade, a market order is the best method of getting this done. The downside of using a market order is that slippage con occur (getting filled at a less favorable price). Market orders should only be used to enter trades when there is good liquidity in the market; otherwise, significant slippage could occur


Market orders are placed live at market, which means you will decide the enter the trade manually. Intraday traders and in particular scalpers are likely to use market orders to enter the market.
 
A market order guarantees execution, and it often has low commissions due to the minimal work brokers need to do
A buy or sell order in which the trader wants to execute the order at the best price currently available. Also known as “at the market”. If you can buy the EUR/USD at 1.3800 and sell the EUR/USD at 1.3798, those are the market prices with a two pip spread. If you buy “at the market”, you would be filled at 1.3800 and if you sell “at the market”, you would be filled at 1.3798

Very well research. It will help all the traders.

Meanmot
Nov 12 2021 at 12:57
5 posts
A market order is an instruction by an investor to a broker to buy or sell stock shares, bonds, or other assets at the best available price in the current financial market.If you use an online broker, clicking on the 'buy' or 'sell' button generally calls up an order form that the user is required to fill in. It needs to know the stock symbol, whether you're buying or selling, and how many shares. It also asks for a price type. The default price type is generally 'market.' That makes it a market order. The investor is not setting a price but is indicating a willingness to pay the current market price.

skihav
Nov 12 2021 at 13:18
801 posts
This is a very difficult process that takes time. It will be quite difficult to understand this immediately.

shortant
Nov 17 2021 at 04:06
73 posts
Market orders are the simplest form of the order you can place in forex trading. When you place a market order, your broker executes that trade immediately at the current market price. The price at which the order is executed is not necessarily the same as the price you see when looking at historical charts because market orders take priority over other pending orders.

miguelcaron
Nov 24 2021 at 04:41
70 posts
Market orders are orders that are executed immediately when the desired price is met. A market order is just like it sounds, you put in your bid and an asking price, and the system acts as soon as it can to fill that trade at a most favorable rate. Most commonly, they are used for short term moves in a currency pair. Understanding how market orders work will help you to gain more clarity on how the Forex market functions.

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