One-Cancels-the-Other Order (OCO)

A One-Cancels-the-Other order (OCO) is a type of order that allows you to place two orders at the same time, with one order automatically canceling the other if either order is filled. This can be useful for traders who want to enter and exit a trade at specific prices, or who want to protect themselves from losses.

There are two types of OCO orders: limit orders and stop orders. A limit order is an order to buy or sell a security at a specific price or better. A stop order is an order to buy or sell a security once the price reaches a certain level.

With a limit OCO order, you can place a buy limit order and a sell limit order at the same time. If the buy limit order is filled, the sell limit order will be canceled. If the sell limit order is filled, the buy limit order will be canceled.

With a stop OCO order, you can place a buy stop order and a sell stop order at the same time. If the buy stop order is triggered, the sell stop order will be canceled. If the sell stop order is triggered, the buy stop order will be canceled.

OCO orders can be used to:

* Enter and exit a trade at specific prices.
* Protect yourself from losses.
* Take advantage of market opportunities.

OCO orders are a powerful tool that can be used to improve your trading performance. However, it is important to understand how OCO orders work before using them.