What is a Buy Stop Stock Order and Sell Stop Stock Order?
Buy stop stocks orders and Sell stop stocks orders are stocks orders used to buy above or below the current market stocks price.
These stocks orders are popularly used to trade when there is a consolidation chart pattern - placing a buy stop to buy above the consolidation pattern & placing a sell stop to sell below the consolidation chart pattern.
Buy Stop Stocks Order and Sell Stop Stock Order after a Consolidation Trading Pattern
These stop stocks orders are stocks orders to buy above the stocks market or to sell below the stocks market.
- Buy Stop Stocks OrderAn order to buy at a level above the current market stocks price.
- Sell Stop Stock OrderAn order to sell at a level below current market stocks price.
What is a Buy Stop Stock Order and Sell Stop Stock Order?
These buy stop and sell stop orders are used by traders wanting to trade a set-up like consolidation chart pattern but they do not want to wait & watch the stocks prices all day long until there is a stocks price breakout.
Therefore, stocks traders will set these pending buy stop orders and sell stop orders above & below the current stocks price and a stocks price breakout in any of these direction will execute one of these pending stop stocks orders and a buy stocks trade or a sell stock trade will automatically be executed and opened.
