How do I trade with different order types in okx?
Aug 08, 2024
Trading with these advanced order types can significantly enhance your trading strategy. Whether you're aiming for quick execution with market orders or precise control with limit orders and advanced conditions, understanding these options helps you trade with confidence and efficiency. Here’s a comprehensive guide to utilizing these order types, whether you’re a beginner or an advanced investor.
| Order types | Benefits of using them |
| Market Order | Provides quick execution and is ideal for highly liquid markets. |
| Limit Order | Offers control over the execution price, making it useful in less volatile markets. |
| TP/SL (Take Profit/Stop Loss) | Allows control over the execution price and is beneficial in volatile markets. |
| Advanced Limit Orders: Post only | Enhances control over fees and execution prices, making it advantageous in volatile markets. |
| Advanced Limit Orders: Fill or kill | Ensures complete execution of orders, which is useful for large orders in volatile markets. |
| Advanced Limit Orders: Immediate or cancel | Guarantees the ability to engage the market at any available size and is effective for quick order execution in volatile markets. |
| Trailing Stop | Protects gains by allowing the trade to remain open when the price moves in favor of the trader. |
| Trigger | Offers control over the execution price and provides automatic protection for profits or limitation of losses. |
| Scaled Order (for Futures trading only) | Maximizes returns by riding market trends and automatically scales orders. |
On the trading page, click on 【Limit Order】. In the pop-up page, you can also choose basic order methods such as【Market Order】 and 【Take Profit Stop Loss】, as well as advanced order methods such as 【Advanced Limit】and 【Mobile Take Profit Stop Loss】.
First Market order
Market order refers to the immediate execution of a buy or sell at the current best market price to achieve a quick transaction, but cannot guarantee the transaction price of the order.
Case: Assuming the latest transaction price of BTC is 62000 USDT, if the user wants to quickly buy BTC at market price, they can choose a market order and fill in the total amount of the order, such as 60000 USDT. After placing the order, the order will be immediately executed (it may not be executed immediately in extreme market conditions), with an average transaction price of around 62000 USD
Second Limit order
Limit order refers to setting the quantity of orders and the acceptable maximum or minimum buying or selling price. When the market price meets your expectations, the system will trade at the optimal price within the limit range.
Case: The current BTC market price is 65000 USDT. If the user wants to buy at a cheaper price of 62000 USDT, they can choose a limit order and set the buy price to 62000 USDT. After placing the order, when the price drops to less than or equal to 62000 USDT, the order will be automatically executed.
Third Take profit and stop loss
When the market price reaches the trigger price you specify, take profit/stop loss orders will be automatically placed to help you lock in profits or limit losses. Take profit and stop loss can be divided into one-way and two-way, with two-way take profit and stop loss automatically becoming invalid when one side is triggered.
case
Commission price: $50000 (the price at which you wish to purchase Bitcoin)
Order quantity: 1 BTC (the quantity you wish to buy)
Set take profit and stop loss:
Take profit trigger price: $55000 (the price at which you wish to take profit)
Stop loss trigger price: $45000 (the price you want to stop loss at)
Fourth Advanced price limit
How to use different types of commissions for trading 4
Advanced price limits can be divided into three types:
1.Post Only
This option ensures that your order will be added to the order book and will not be executed immediately. If the pending order matches an existing order, the order will be cancelled.
2. All transactions or immediate cancellation (FOK)
FOK orders must be fully executed immediately after submission, otherwise they will be cancelled. This ensures that buy and sell orders are fully executed or cancelled (without any partial transactions).
3. Immediate transaction and cancellation of remaining (IOC)
IOC must be closed immediately, but any parts that cannot be closed will be cancelled.
Fifth Mobile take profit and stop loss
Mobile take profit stop loss is a type of take profit stop loss that tracks market prices. Its trigger price will change with market fluctuations, and after successful triggering, a market order will be placed. This commission can help users dynamically lock in profits or reduce losses in volatile market conditions. At the same time, the activation price can be used to set the price at which the commission is activated.
Sixth Plan delegation
Planning delegation is a type of strategic delegation. Users can pre-set trigger prices and commission prices. When the market price reaches the trigger price, the system will automatically place an order based on the commission price.
Case: Assuming A is optimistic about the long-term trend of BTC, but believes that the current price (62000 USDT) is slightly higher, and A hopes to buy when the price rebounds to a certain extent, then A can set it as follows:
Trigger price: 60000 USDT (A considers a reasonable retracement price)
Commission price: 59500 USDT (A wishes to buy at a price slightly lower than the trigger price to prevent further price decline)
Quantity: 0.1 BTC Direction: Buy
When the BTC price drops to 60000 USDT, the system will automatically buy 0.1 BTC for A at a price of 59500 USDT.
Seventh Segmented delegation (limited to contract transactions only)
Segmented order refers to the practice in contract trading where users can set a specified price range and place multiple limit orders at once according to a specified quantity allocation pattern within this range.
Case: Taking the BTCUDT perpetual contract as an example, assuming the current market price of BTC is 62000 USDT, the parameters are set as follows:
Minimum price: 60000 USDT
Highest price: 64000 USDT
Order quantity: 9 Quantity: 0.9 BTC (assuming you want to buy Bitcoin worth approximately 55800 USDT)
Quantity allocation: average
calculation:
Quantity per sub order: 0.9 BTC/9=0.1 BTC
Price difference: (64000-60000)/(9-1)=500 USDT
Hanging prices: 60000 USDT, 60500 USDT, 61000 USDT, 61500 USDT, 62000 USDT, 62500 USDT, 63000 USDT, 63500 USDT, 64000 USDT
If the current price of 62000 USDT is better than the sub order commission price, such as 62500 USDT, 63000 USDT, 63500 USDT, 64000 USDT sub orders with multiple orders, then the best market price will be used for immediate transaction.
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