Limit Order
A limit order is generally used when you want to enter at a specified price or better.
Example:
EUR/USD is currently 1.1000.
You want to buy at 1.0950.
You could place a buy limit order.
If price reaches the specified level and execution conditions are met, the order may be triggered.
Stop Order
A stop order is generally used to enter once price reaches a specified level.
For example, if price is trading below a resistance area and you want to enter only if price breaks above it, a buy stop may be used.
Why Use Pending Orders?
They can allow you to plan trades in advance rather than constantly watching the market.
Important
Order execution isn’t guaranteed simply because price touches a level. Execution depends on market conditions and the specific provider.
Disclaimer
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
