Market orders at the point you make a transaction at the price currently in effect. To Buy means purchase price "ask" which occurs at a moment's notice, or to Sell means selling at a price "bid" prevailing at that time also
For example the price of EUR/USD at the time showed 1.2934/1.2938.
This means if you were willing to do a transaction for market orders, so if you do Buy, the price of EUR/USD you can from a broker is 1.2938. And if you do Sell, the price of the EUR/USD has to offer broker is 1.2934.
Pending orders are automatic orders to open a Buy or Sell if the price of your order is reached. When you order the price is not reached, then the pending order will still be active and will wait until the price of your order untouched. Pending orders can be divided into 2 IE Pending Order Stop and Limit of Pending Order.
Buy Stop Order
When you predict that the market will move higher if a certain price limits to penetrate higher than current prices, and you want to open a Buy position when the market touched the restrictions, use the Buy Stop Order.
Selll Stop Order
When you predict that the market will move steadily going down if Pierce a certain price limits that are lower than the price now, and you want to open a Sell position when the market touched the restrictions, use the Sell Stop Order.
When you predict that the market will bounce up if a certain boundaries touch a price lower than the price now, and you want to open a Buy position when the market touched the limitation, use a Limit Order Buy.
Sell limit orderWhen you predict that the market will reverse the downward direction if touch a certain price limits that are higher than current prices, and you want to open a Sell position when the market touched the restrictions, use the Sell Limit Order.
Active period Pending Order
Even though we predict the direction of the market and has made the pending order, sometimes it's changed market conditions not in accordance with our predictions. If the pending order was executed, even though market conditions have changed, this can cause any harm. We therefore need to set up when pending orders we are active. Several options for downloading the settings of our pending order:
Buy Stop Order
GTC (Good Till Cancelled)
Good Till Canceled means pending order will remain active without any time limit, until we cancel it manually. GTC is default of Pending Order
GTD (Good Till Date)
Good Till Date means the pending order will remain active until the deadline we are setting
OCO (Order Cancels Other)
Order Cancels Other means we ordered 2 pending orders at once. If one of the pending order is touched, then the other order will be canceled automatically.
By understanding the market orders and pending orders it, I hope you be understand that we don't need to always be in front of the computer to monitor the movement of the market and trade. We could trade at a price level that we want without us having to be present when prices touched as low as it is, with how to make the pending order.
Thus forex trading made easy because we don't need to wait for market movement.