Order Types

Our trading system - Z.com Trader Web offers a wide range of order types to meet customers' investment needs.

Types of Order:

Market Order

A market order is an instruction to buy/sell at next available price. The final execution price may differ from the original quoted price when the order was placed. Please read the slippage section for more details.

Example 1:

When the EUR/USD sell and buy market prices are 1.08050 and 1.08060, respectively. Suppose you want to open a position to buy EUR/USD, you can choose to place an order at the quoted market price of 1.08060, and the transaction will be executed immediately at next available price.

Example 2:

When the EUR/USD sell and buy market prices are 1.08050 and 1.08060, respectively. Suppose you want to open a position and sell EUR/USD, you can choose to place an order at the quoted market price of 1.08050, and the transaction will be executed immediately at next available price.

Z.com Trader Web offers a One-Click order function. By simply clicking on the prices displayed on the screen, you may open, close, hedge, or close all positions for the same currency instantaneously. This way, you will not miss any trading opportunities.

One-Click Order with Stop Loss

With One-Click order, you can preset a stop-loss point distance. For example, if you set 15 pips. You "click" to buy the EUR/USD at 1.08060 and have it executed successfully, a stop order at 1.07910 will be automatically generated as a stop-loss.

 

One-Click Order with hedging

You can enable hedging with One-Click order. For example, you hold a buy position in EUR/USD, when this function was enabled, clicking on the sell button of EUR/USD will not close the existing buy position, the system will open another position to sell EUR/USD at next available price resulting in a hedging (locked) position. (Please use the hedging function with caution, if you do not understand this function, please leave this function disabled.)

Please read the One-Click Order User Guide for more details.

Limit Order

A limit order is an order to buy/sell at a price specified by you. The execution price is the pre-determined order price. If you want to place an order to buy, you may specify a price below the current market price. If you want to place a sell order, you may specify a price above the current market price. The limit order will only be executed once the market reaches the price you specified. You can open or close a position with a limit order. Regarding favourable/unfavourable price movement, please read our slippage policy.

Example 1:

The EUR/USD sell and buy market prices are 1.08050 and 1.08060 respectively. If you want to open a position to buy EUR/USD, you can set a limit order lower than the current market price 1.08060 (for example, 1.08030). When the buying market price drops to 1.08030, the transaction will be executed.

Example 2:

The EUR/USD sell and buy market prices are 1.08050 and 1.08060 respectively. If you want to open a position to sell EUR/USD, you can set a limit order that is higher than the current market price 1.08050 (e.g. 1.08080). When the selling market price rises to 1.08080, the transaction will be executed.

Example 3: (Taking profit)

If you have a EUR/USD long position, and the current sell and buy market prices are 1.08050 and 1.08060 respectively, you may place a close limit order above the current selling market price 1.08050 (e.g. 1.08080) as a profit taking order. If the sell market price rises to 1.08080, the transaction will be executed.

Stop Order

A stop order can generally be used as a stop loss. It is used for the purpose of preventing additional loss if the price goes against your position. A stop order is triggered when the market price reaches a specified price (see example 2). In some situations, experienced traders may also use a stop order to open a position by placing a buy order with a price above the market or a sell order with a price below the market. (see example 1).

Example 1:

The EUR/USD sell and buy market prices are 1.08050 and 1.08060, respectively. If you want to open a position to buy EUR/USD, you can set a stop price higher than the current market price of 1.08060 (for example, 1.08090) to place an order. If the buying market price rises to 1.08090, it will be triggered, and the transaction will be executed at the next available price.

Example 2: (used as a stop loss)

When you hold a long position (buy) in EUR/USD and the current sell and buy market prices are 1.08050 and 1.08060 respectively. If you want to limit the loss, you can place a stop order with a price lower than the current market price of 1.08050 (for example, 1.08020) to close your position. If the selling market price drops to 1.08020, it will be triggered and the transaction will be executed at the next available price.

OCO - One Cancels the Other Order

OCO order allows client to place two orders at the same time. It combines a limit order, with a stop order, but only one of the two can be executed.

In other words, as soon as one of the orders get partially or fully filled, the remaining one will be canceled automatically.

Note that canceling one of the orders will also cancel the other one.

 

IFD - If Done Order

An order containing two stages, when the first stage (open position) order is filled, the second stage (close position) order will take effect. Such order for both stages can be either limit order or stop order.

 

IFD-OCO Order

IFD-OCO is a combination of an IFD and an OCO order.
The entry order of limit or stop, along with take profit and stop loss orders will be placed simultaneously. The closing order (i.e. take profit and stop loss) will remain dormant until the entry order has been executed.

 

Example of IFD, OCO and IFD-OCO:

The EUR/USD sell and buy market prices are 1.08050 and 1.08060

Order Type Place Order (at the same time) If (price movement) then Take Profit/Stop Loss
OCO Buy stop at 1.08090
(higher than market price); AND

Buy limit at 1.08030
(lower than market price)
1.08090 Execute buy stop, Cancel buy limit N/A (No relevant order)
1.08030 Execute buy limit, Cancel buy stop N/A (No relevant order)
IFD ① Buy limit at 1.08030
(lower than market price); AND

② Sell limit at 1.08200
(higher than the limit price placed in ①)
1.08090 Buy Limit NOT executed, sell limit NOT activiated N/A (Not activated)
1.08030 Execute buy limit, Activate sell limit Take Profit: Execute sell limit when price reaches 1.08200
IFD-OCO ① Buy limit at 1.08030
(lower than market price); AND

② (OCO): Sell Limit at 1.08200
(higher than the limit price placed in ①) ; AND

Sell stop at 1.07900
(lower than the limit price placed in ①)
1.08090 Buy Limit NOT executed, sell limit and sell stop NOT activiated N/A (Not activated)
1.08030 Execute buy limit, activate sell limit and sell stop Take Profit: Execute sell limit when price reaches 1.0820
Stop Loss: Execute sell stop when price reaches 1.0790 
(when one of the two executed, the remaining one will be canceled automatically)

Expiry Types

Limit and stop orders are not executed immediately. When placing such orders, you may choose the expiration period for your order. Below are the types of expiry.

▪ DAY - This order remains valid until the end of the trading day.

▪ GTF - Good till Friday - This order remains valid until the end of the nearest Friday.

▪ GTC- Good till Canceled - The order remains valid until canceled or executed.

▪ GTD - Good till Date - This order remains valid until specified date and time.

About Slippage

In Forex trading, slippage is the difference between the expected price when the trade was ordered, against the actual price that the trade was executed at. It is a common phenomenon in Forex trading. Slippage can be either positive (favourable price movement) or negative (unfavourable price movement).

Due to the fast pace of price movements, slippage may occur due to the delay that exists between the time of placing an order and the time it is executed. A delay in execution may occur for various reasons, such as technical issues with the internet connection, lack of available liquidity or when large orders are placed.

Slippage also occurs during periods of high volatility, maybe due to news event that makes it impossible to execute trade orders at the expected price because the market may have moved significantly away from that price. The order can only be executed at next available price.

One way to mitigate the risk associated with slippage is to utilize the Slippage setting feature on our trading system.

Example of Slippage:


GBP/USD buy market price is 1.22000
A market order of buying GBP/USD at 1.22000 is placed, the execution price will be the next available price. The difference between the final execution price and order price can be categorized to 3 different types of slippage.

No Slippage∶ The next available buy price is 1.22000 which is the same as the order price.

Positive Slippage - favourable price movement∶ The next available buy price is 1.21900, thus the order is executed at 1.21900. The execution price is 10 pips lower than the order price, which is a positive slippage.

Negative Slippage - unfavourable price movement: The next available buy price is 1.22100, thus the order is executed at 1.22100. The execution price is 10 pips higher than the order price, which is a negative slippage.

About Slippage Policy

Please note that slippage policy is various in different kinds of order types. Kindly refer to the following table:

Order Type Scenario Execution Price Favourable price movements Unfavourable price movements
Normal Limit Order Normal Case Pre-determined Order Price Retained by Z.com Forex Borne by Z.com Forex
Market lacks liquidity (i.e. Z.com Forex could not receive an available price from GMO CLICK*)
Monday's Open Limit Order Normal Case Pre-determined Order Price or Next Available Price, whichever favourable to client Retained by Client Borne by Z.com Forex
Market lacks liquidity (i.e. Z.com Forex could not receive an available price from GMO CLICK*)
Stop Order & Automatic Close Out Order Normal Case Next Available Price Retained by Client Borne by Client
Market lacks liquidity (i.e. Z.com Forex could not receive an available price from GMO CLICK*) Last Tradable Price or Next Available Price, whichever favourable to client Borne by Z.com Forex
Market Order Normal Case Next Available Price Retained by Client Borne by Client (Clients can specify maxium allowed negative slippage in trading platform)
Market lacks liquidity (i.e. Z.com Forex could not receive an available price from GMO CLICK*) Cancelled Cancelled Cancelled

*GMO CLICK Securities, Inc., (“GMO CLICK”)

How to Edit the Maximum Slippage Pips Allowed

Slippage Setting

Please enter [Trade] tab after login to our trading platform, then click the user preference icon and edit the maximum slippage pips. Untick the [No Restriction] box and enter the maximum slippage allowed in pips.

In another way, clients can also edit the maximum slippage pips allowed in order panel, and check the [ON] box to activate the function.

For example, the maximum slippage pips allowed is 5pips, and the rate of EUR/USD ask price is 1.13600. The order will be executed below 1.13650. (Please refer to the table below)

Status Buy
Order will not execute 1.13670
1.13660
Order will execute 1.13650
1.13640
1.13630
1.13620
1.13610
Current Rate 1.13600
Order will execute 1.13590
1.13580
1.13570
1.13560

1.13550 or below