#OrderTypes101 Understanding order types is essential for effective trading. The most common types include market orders, limit orders, and stop orders. A **market order** executes immediately at the current price, ideal for quick trades but vulnerable to slippage. A **limit order** sets a specific price, ensuring you buy or sell only at your desired level, though execution isn’t guaranteed. A **stop order** becomes active when a price threshold is hit, useful for risk management. Advanced traders also use **stop-limit orders** and **trailing stops** for finer control. Mastering these tools helps optimize entry/exit points, minimize losses, and capitalize on market movements. Always align your order type with your strategy!