Compare Brokers Order Types
When you start trading, it’s essential to understand the different order types brokers offer. Knowing these can help you make better decisions and manage your investments effectively.
Types of Broker Order Types
1. Market Order
A market order buys or sells a security immediately at the current market price. It’s quick and ensures execution but doesn’t guarantee the execution price, especially in volatile markets.
- Pros: Fast execution.
- Cons: Possible price slippage.
2. Limit Order
A limit order sets a specific price at which you’re willing to buy or sell. The trade happens only if the market reaches your set price, giving you control over the execution price.
- Pros: Control over price.
- Cons: No guarantee of execution if the market doesn’t reach the set price.
3. Stop Order (Stop-Loss Order)
A stop order becomes a market order once a security reaches a certain price, known as the stop price. It’s often used to limit losses or lock in profits.
- Pros: Helps manage risk.
- Cons: Can execute at a different price if the market moves quickly.
4. OCO Order (One Cancels the Other)
An OCO order is a combination of two conditional orders where, if one order is executed, the other is automatically canceled. Typically, it involves a limit order and a stop order to secure profits while minimizing losses.
- Pros: Good for automated risk management.
- Cons: Requires careful planning to avoid unintended cancellations.
Comparing 50 Brokers and Their Available Order Types
Choosing the right broker is crucial. Here’s a comparison of 50 reputable brokers, focusing on their regulation and available order types, including market, limit, stop, and OCO orders:
| Broker | Country Regulation | Available Order Types |
|---|---|---|
| Fidelity Investments | USA | Market, Limit, Stop-Loss, OCO |
| Charles Schwab | USA | Market, Limit, Stop-Loss, OCO |
| Interactive Brokers | USA | Market, Limit, Stop-Loss, OCO, and over 100 advanced order types |
| Robinhood | USA | Market, Limit, Stop-Loss |
| E*TRADE | USA | Market, Limit, Stop-Loss, OCO |
| Merrill Edge | USA | Market, Limit, Stop-Loss |
| Vanguard Brokerage | USA | Market, Limit, Stop-Loss |
| tastytrade | USA | Market, Limit, Stop-Loss, OCO |
| Plus500 | USA | Market, Limit, Stop-Loss |
| Webull | USA | Market, Limit, Stop-Loss, OCO |
| Ally Invest | USA | Market, Limit, Stop-Loss, OCO |
| TD Ameritrade | USA | Market, Limit, Stop-Loss, OCO |
| TradeStation | USA | Market, Limit, Stop-Loss, OCO |
| Oanda | USA | Market, Limit, Stop-Loss, OCO |
| IG | USA | Market, Limit, Stop-Loss, OCO |
| eToro | USA | Market, Limit, Stop-Loss |
| SoFi Active Investing | USA | Market, Limit, Stop-Loss |
| Questrade | Canada | Market, Limit, Stop-Loss, OCO |
| Wealthsimple Trade | Canada | Market, Limit |
| Qtrade | Canada | Market, Limit, Stop-Loss |
| CIBC Investor’s Edge | Canada | Market, Limit, Stop-Loss |
| National Bank Direct Brokerage | Canada | Market, Limit, Stop-Loss, OCO |
| Saxo Bank | Denmark | Market, Limit, Stop-Loss, OCO |
| DEGIRO | Netherlands | Market, Limit, Stop-Loss |
| XTB | Poland | Market, Limit, Stop-Loss, OCO |
| Pepperstone | Australia | Market, Limit, Stop-Loss, OCO |
| CMC Markets | UK | Market, Limit, Stop-Loss, OCO |
| Admiral Markets | Estonia | Market, Limit, Stop-Loss, OCO |
| City Index | UK | Market, Limit, Stop-Loss, OCO |
| Capital.com | Cyprus | Market, Limit, Stop-Loss, OCO |
| AvaTrade | Ireland | Market, Limit, Stop-Loss, OCO |
| Libertex | Cyprus | Market, Limit, Stop-Loss, OCO |
| Swissquote | Switzerland | Market, Limit, Stop-Loss, OCO |
| Interactive Brokers UK | UK | Market, Limit, Stop-Loss, OCO, and over 100 advanced order types |
| Just2Trade | Cyprus | Market, Limit, Stop-Loss, OCO |
| FxPro | UK | Market, Limit, Stop-Loss, OCO |
| HYCM | Cyprus | Market, Limit, Stop-Loss, OCO |
| OctaFX | Saint Vincent | Market, Limit, Stop-Loss, OCO |
| HotForex | Cyprus | Market, Limit, Stop-Loss, OCO |
| FBS | Belize | Market, Limit, Stop-Loss, OCO |
| Exness | Seychelles | Market, Limit, Stop-Loss, OCO |
| IC Markets | Australia | Market, Limit, Stop-Loss, OCO |
| FXTM | Cyprus | Market, Limit, Stop-Loss, OCO |
| Forex.com | USA | Market, Limit, Stop-Loss, OCO |
| NAGA | Cyprus | Market, Limit, Stop-Loss, OCO |
| Tickmill | Seychelles | Market, Limit, Stop-Loss, OCO |
| FXChoice | Belize | Market, Limit, Stop-Loss, OCO |
| Trade360 | Cyprus | Market, Limit, Stop-Loss, OCO |
| GO Markets | Australia | Market, Limit, Stop-Loss, OCO |
Note: Order types may vary depending on account type and trading platform. Always verify with the broker’s website for the latest information.
Final Thoughts
Understanding different order types, including the advanced OCO option, helps you control your trades and manage risks more effectively. When choosing a broker, consider the variety of order types they offer and ensure they’re regulated in your country. This knowledge will empower you to make informed and strategic trading decisions.