I'm new and confused. I found the babypips site - it's great and I refer back to it BUT . . .
I set up a practice account w/Forex.com and just started trading this week.
I had what I thought was a simple question, and after talking to the help desk, came away still confused and with no answer. I can only guess that my brain chemistry is still not functioning in the Forex mode or trading in general.
Here's the scenario:
1. I wish to make a trade - for ex: buy GBP (indicators are that it may have a run up), but wish to place a limit (exit if it goes up 100 pips) and stop loss (exit) if it goes down, let's say 30 pips below my entry point.
2. I use the 'order' tab and hit 'order entry'.
3. The 'order place' screen comes up. It's a single order and 'buy' 1 lot. However, the 'order basis' is 'limit', the 'order rate' is 30 pips below the market buy price. If the 'order basis' is 'stop', then the 'order rate' is set above the markety buy-in price (+30 pips)
4. QUESTIONS:
- What does the 'order rate' represent? It seems that if I'm doing a 'buy' at the current buy-rate for the currency, with a 'limit' -type order, that I would have to set what limit value I wish to exit at in order to take a profit (for ex: 100 pips above my buy-in price). However the order rate on the order placement screen will only accept negative numbers that are BELOW the market entry price. WHAT IS THAT ALL ABOUT?
- I then tried using the IF/THEN approach, but immediatly ran into the same "unanswered question" and confusion as to the buy/sell - lease/stop issue.
- Here's the bottom line: How does one make a buy (or sell) and place limits (limit / stops) on the order? The screens (on FOREX.com) are set up exactly opposite to "my way of thinking" (which obviously must be wrong - my thinking that is).
HELP PLEASE. End this confusion so I can get back on the right track.
I set up a practice account w/Forex.com and just started trading this week.
I had what I thought was a simple question, and after talking to the help desk, came away still confused and with no answer. I can only guess that my brain chemistry is still not functioning in the Forex mode or trading in general.
Here's the scenario:
1. I wish to make a trade - for ex: buy GBP (indicators are that it may have a run up), but wish to place a limit (exit if it goes up 100 pips) and stop loss (exit) if it goes down, let's say 30 pips below my entry point.
2. I use the 'order' tab and hit 'order entry'.
3. The 'order place' screen comes up. It's a single order and 'buy' 1 lot. However, the 'order basis' is 'limit', the 'order rate' is 30 pips below the market buy price. If the 'order basis' is 'stop', then the 'order rate' is set above the markety buy-in price (+30 pips)
4. QUESTIONS:
- What does the 'order rate' represent? It seems that if I'm doing a 'buy' at the current buy-rate for the currency, with a 'limit' -type order, that I would have to set what limit value I wish to exit at in order to take a profit (for ex: 100 pips above my buy-in price). However the order rate on the order placement screen will only accept negative numbers that are BELOW the market entry price. WHAT IS THAT ALL ABOUT?
- I then tried using the IF/THEN approach, but immediatly ran into the same "unanswered question" and confusion as to the buy/sell - lease/stop issue.
- Here's the bottom line: How does one make a buy (or sell) and place limits (limit / stops) on the order? The screens (on FOREX.com) are set up exactly opposite to "my way of thinking" (which obviously must be wrong - my thinking that is).
HELP PLEASE. End this confusion so I can get back on the right track.
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