|Show/Hide Hidden Text|
This section explains how to submit a triggered order to the exchange.Watch the video Triggered Orders.
A triggered order is simply an ordinary order that is not immediately submitted to the exchange, but is submitted ONLY WHEN ITS TRIGGER CONDITION HAS BEEN MET. Once the triggered order's trigger condition has been met, the order will be submitted to the exchange just like any other order and there is no guarantee that the order will be executed - this depends entirely on the activity in the market at that time.
From the preceding explanation, it is clear that triggered orders can be used in conjunction with a variety of trading strategies, including stop-loss and profit-take. The crux is to determine what type of order you wish to submit (ie buy or sell) and to what level you wish the market to move to before your order should be submitted.
Triggered orders have as their condition the last price traded of the particular instrument.The trigger condition relates to the market direction in order to trigger the order: On and above implies the market must move upwards and achieve or breach the trigger price while On and below implies the market must move downwards and achieve or breach the trigger price.
BUY 1 SEP14 ALSI @ 24000; TRIGGER PRICE = 24020; TRIGGER CONDITION EQUAL OR BELOW.
If the last price for the SEP14 ALSI moves down to or below 24020, the above order will be submitted to the market as sell of SEP14 ALSI at price 24000.
A trailing triggered order is the same as a normal triggered order, with the addition of a trailing distance. If the trailing distance is set, the triggered order will always remain within the selected distance from the current last price of the specific contract.
©Estuary Solutions (www.estuarysolutions.com), All rights reserved.