> For the complete documentation index, see [llms.txt](https://docs.sodex.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.sodex.com/trading-mechanics/order-type.md).

# Order Type

## Order types:

* Market: An order that executes immediately at the current market price
* Limit: An order that executes at the selected limit price
* Stop Market: A market order that is activated when the price reaches the selected stop price. Stop orders are generally used to help limit losses and lock in profits
* Stop Limit: A limit order that is activated when the price reaches the selected stop price

## Order options:

* Reduce Only: An order type that decreases an existing position without initiating a new one in the opposite direction.
* Good Till Cancel (GTC): An order that remains active on the order book until it is either executed or manually canceled by the trader.
* Immediate or Cancel (IOC): An order that attempts immediate execution of all or part of the order, with any unfilled portion automatically canceled.
* Take Profit (TP): An order that is automatically executed when the market price reaches the predetermined Take Profit level, closing the position to lock in gains.
* Stop Loss (SL): An order that activates immediately when the market price hits the preset Stop Loss level, liquidating the position to limit potential losses.
* Traders often use TP and SL orders to set targets and protect profits or minimize losses on positions. TP and SL are automatically market orders. You can set a limit price and configure the amount of the position to have a TP or SL.