When to Use Market, Limit, and Stop Orders for Maximum Accuracy.
Where does the trade begin and end? Day 4 delivered the Execution Blueprint, revealing the single most important concepts for profitability: Entry, Take Profit (TP), and Stop Loss (SL). We demonstrated the professional strategies for positioning orders to maximize reward and minimize risk. Learn the strict rules that successful traders use to set their prices and master all four types of pending orders to trade the market with precision.
Missed the live session? 🎥
Here’s the replay of the October 23, 2025 Day 04: Technical Analysis Part 2:
Please note, This video is accessible only to clients with qualified Forex accounts. Access will only be available for the next 7 days, so make the most of this opportunity to revisit the session and reinforce your learning.
Execution is Everything: The 3 Price Levels That Matter
Day 4 was the final step in establishing your complete technical analysis strategy. It shifted the mindset from analyzing where the price might go to precisely where to enter and exit the market.
Every profitable trade relies on mastering three levels:
Entry Price: The exact level at which your trade is executed.
Take Profit (TP): The future price set to automatically lock in your earnings. This answers the question: "How much profit do I want to make?".
Stop Loss (SL): The future price set to automatically limit your losses. This answers the question: "How much can I afford to lose?".
The Rule of Precision: Positioning Your Trades Strategically
We revealed the critical rules for positioning your orders to maximize reward and avoid premature closures:
Buying (Near Support): You Buy Above the Support. You must wait for a confirmation of a market bounce, and your entry must account for the Spread times 3 rule to ensure the order triggers. You then set your TP Below the Resistance to lock in earnings before the expected reversal.
Selling (Near Resistance): You Sell Below the Resistance. This confirms the market is ready for a downward reversal. Your SL must be placed Above the Resistance Zone to give the market adequate room to breathe. We emphasized that placing your SL too close to your entry level (or inside the Rule of Three Zone) is essentially giving the market a free earning.
The non-negotiable principle is the Risk-to-Reward Ratio: your potential reward must always be significantly greater than your maximum acceptable risk.
Stop Waiting, Start Capturing: Mastering Order Types
Professional traders use two primary types of orders to control when their money enters the market:
Market Order (Execute Now): Used by scalpers for immediate execution at the current price.
Pending Orders (Execute Later): Used by swing traders to enter the market at a price they predict will occur in the future. This is the key to trading effectively without monitoring charts 24/5.
We mastered all four pending order strategies:
Limit Orders (Reversal Trades): You anticipate the price will hit a limit and reverse. (e.g., Buy Limit below the current price, Sell Limit above the current price).
Stop Orders (Breakout/Continuation Trades): You anticipate the current price trend will continue or break out. (e.g., Buy Stop above the current price, Sell Stop below the current price).
The Path Forward
You now have the complete blueprint for trading execution. Every subsequent session builds on this foundation. Tomorrow is your chance to learn why—the Fundamental Analysis that moves the price.
Do not miss the missing piece of the puzzle!
