Entry Stop Orders Forex Orders - How to Place a Pending Order in MT4
Buy Stop Orders and Sell Stop Orders are entry stop pending orders that are provided for on the forex trading platform. Forex traders can then use the forex platform to set these stop orders on the forex trading charts. This tutorial will explain what are entry stop pending orders - buy stop order and sell stop order. This tutorial will also explain how to use the forex trading platform software to set these pending stop orders when trading with forex charts.
Entry Stop Pending Orders are orders to buy above the market or to sell below the market.
- Buy Stop Order
An order to buy at a level above the market price.
- Sell Stop Order
An order to sell at a level below the market price.
Buy Entry and Sell Entry Orders
These orders are also known as pending orders. Entry stop pending orders are used by forex traders wanting to trade a setup like the consolidation chart pattern but they do not want to wait and watch the forex prices all day long until there is a forex price breakout. Therefore, forex traders will set these pending orders above and below the forex price and a price breakout in any of these direction will execute one of these pending orders and a buy trade or a sell trade will automatically be opened.
Buy Stop Order
In the forex trading examples below a buy stop order was placed to buy at a level above the current forex market price.
The forex price then went up to hit the buy stop forex order, and afterwards forex price continued to move upwards.
Setting Buy Stop Order above Resistance Level - How to Place a Pending Order Buy Stop Order on MetaTrader 4
Setting Buy Stop Order in a Forex Breakout - How to Place a Pending Order Buy Stop Order on MetaTrader 4
A Buy forex trade was generated from the above order when the forex price broke a resistance line in the first example and when there was an upward forex price breakout after a market consolidation pattern.
Sell Stop Order
In the forex trading example below a sell stop order was placed to sell at a level below the current forex market price.
The forex price then went down to hit the sell stop forex order, and afterwards the downwards forex price move continued
Setting a Sell Stop Order Below a Support Level - How to Place a Pending Order Sell Stop Order on MetaTrader 4
Pending Sell Order Set in a Price Breakout - How to Place a Pending Order Sell Stop Order in MT4
A Sell forex trade was generated from the above sell stop order after support line is broken after a forex consolidation chart pattern.
How to differentiate between stop orders and limit orders
It is easier to first of all remember one concept. The easier concept is that of Stop Orders are set above and below the forex price.
In the mean time Download MetaTrader 4 platform and practice setting these orders on a Practice Demo Account.
Setting Buy and Sell Stop Orders on MetaTrader 4 - How to Place a Pending Order in MT4
Open a Trading Chart, Right Click on the forex Trading Chart, Select New Order, then Follow the steps below
Step1: Select Pending order as shown below
Step2: Select Pending order Menu as Show below
Step3: Select Buy Stop or Sell Stop
Step4: Click "Place" Order
Steps to Setting Entry Stop Pending Orders on MetaTrader 4 - How to Place a Pending Order in MT4 Platform Explained