(1) market price list

Market order refers to the order that the broker must execute the transaction at the best price at that time after the order reaches the trading pool. The market price list is the most common trading order. This instruction only needs to indicate the number of financial futures contracts that investors want to buy and sell, and does not need to indicate the transaction price. Because this instruction itself requires the floor broker to make a deal at the market price when receiving the instruction. In principle, the on-site broker of the brokerage company should execute the transaction according to the best price available at that time after receiving the market price list from the customer. However, in practice, especially for some small futures transactions, floor brokers often use the earliest price that can be traded after receiving the market order in order to complete the market order on hand as soon as possible. However, if the amount of a futures transaction is large and the floor broker authorizes a certain trading space, then he will take the initiative to find the best price for the customer to trade. The main purpose of financial futures investors to use market orders is basically to enter or exit the trading market as soon as possible. Especially when speed becomes the key to the profit of futures trading, investors will adopt market price instructions.

(2) Limit order

A limit order refers to a customer asking a broker to enter the market at a specific price, but he must conclude a transaction at the price set by the customer or at a more favorable price. Limit orders are issued because customers are unwilling to bear the price lower than the set price, so they are used. The price specified in the limit order is the bottom line that customers are willing to accept. Prices exceeding this bottom line are considered unacceptable by customers. A broker can't close a deal for a client at a level above the bottom line price.

Limit orders can be divided into buying and selling. Limit buying means that brokers should buy contracts at or below a limited price level. The maximum price order means that the broker should sell the contract at the maximum price or higher. If the market price does not reach the highest price required by the customer, the broker cannot execute the order. But the order with the highest price limit is often difficult to grasp. If the maximum price is close to the market price, the maximum price will lose its original meaning, and it will be difficult for customers to obtain obvious benefits; The maximum price is set too far from the market price, and the sub-market price can't reach the maximum price, so it is impossible to make a deal.

(3) Touch the price instruction

A touch list refers to an order whose market price will take effect as long as it touches the price level specified by the customer. In other words, once the market price reaches the price set by the customer in advance, this order becomes a market price order, and then the broker can strive to reach a deal for the customer at the best price. However, if the market price does not reach the set price level, this instruction will not take effect. For example, if the order is "buy a 10-month treasury bond contract (MIT) for $93", then this order will only take effect when the market price reaches $93, and the broker will try his best to reach the most favorable price. The trader who issued the MIT order wants to buy the national debt contract at a price below $93, but it is possible that the contract price he bought is higher than $93. Because MIT's instructions do not guarantee that the transaction can be concluded at this price. Orders that take effect at this price become market orders. In a volatile market, brokers can only trade according to fluctuating prices.

The difference between mit and limit order is that MIT only stipulates that brokers can reach a transaction at the optimal price at this trading time, and this optimal price has nothing to do with the set price, not based on the set price; Limit orders also require brokers to try their best to achieve the best price, but this price is based on the set price and can only be better than the set price. Although these two orders have set prices, the price reached under the purchase restriction order must be better than the set price; The price reached under MIT instruction is not necessarily better than the set price.

(4) Stop loss instruction

A stop-loss order refers to an order that requires buying when the market price is higher than a set price or selling when the market price is lower than a set price. This order is issued to make use of the inertial movement of the market to make profits or stop losses. There are two types of stop instructions. One is to buy a stop loss order. The instruction instructs to buy the contract at a price higher than the current market price. The reason why such an order is issued is generally because traders think that once the market price exceeds a certain price, the price increase will continue, and traders judge that the price will rise to a higher position. The other is a sell stop order.

This instruction indicates that the transaction is completed when the transaction price or bid reaches or falls below the set price. Unlike buying stop loss trading, selling stop loss trading orders can only be executed when the buying price reaches the stop loss price. For the same reason as the former, traders judge that the market will weaken, so they sell contracts when the price reaches a certain falling point. Because traders judge that prices will continue to fall. This stop loss order is also used to stop losses. Once the set price is touched, the trader thinks that the price trend will be unfavorable to the contract he holds, so he closes the contract to prevent further losses.

(5) Stop-loss limit order

A stop-loss limit order is a combination of a stop-loss order and a limit order, including a stop-loss price and a limit price. When the market price touches the stop-loss price, the order takes effect and becomes a limit order, and the final transaction price must be within the limit price. If the market price cannot reach the price level required by the customer, the instruction will not be executed.

For example, if you buy 1 lot1month soybean, the stop loss price is $65,438 +00.275, and the limit price is $65,438 +00.285, that is, when the market price reaches $65,438 +00.275, the order becomes a limit order, and the transaction price cannot exceed 65,438.

When will the stop-loss limit order be issued? Set the upper and lower limits of the transaction price. Because the investor has a basic forecast of the market trend, but he is not sure, he wants to make profits from the forecast, but he is unwilling to bear too many losses.

2. Description of effective time division

(1) always valid instruction

Instructions that are always valid are also called "instructions that are always valid unless revoked" and "open instructions", which means that instructions will always be valid unless cancelled by customers themselves. The instruction will remain in the trading pool as an order until the customer cancels it himself. Ordinary orders are valid on the same day, that is, if there is no specified time on the order form issued by the customer, the brokerage company will think that this order is only valid on the same day. At the close of the day, all orders that are not traded on the exchange are regarded as invalid orders and cleared out of the exchange. Orders indicating "G 1rc" will remain on the exchange until the final transaction is reached or the customer cancels the order himself.

(2) Open instruction and close instruction

An opening order is an order that requires execution at the most favorable price within the opening time. This order stipulates that the opening time of the exchange is the execution time of the transaction, so this order has been delivered to the broker before the exchange starts trading. Usually the warehouse receipt will also take the form of market price or price limit. The opening order is reached at the market price during the opening time. The price limit opening instruction requires brokers to bid within the price limit during the opening time. If the price limit transaction is not reached within the opening time, the order will automatically become invalid. Similarly, the liquidation order requires the transaction to be completed within the liquidation time. During this period, the broker reached a deal at the market price or the price limit set by the customer, and executed this order for the customer.

(3) One command revokes another command.

Sometimes, traders want to be able to trade at a breakthrough point. Although there is market fluctuation, the trader tries to ignore it, so he will place two orders, one is higher than the market price and the other is lower than the market price. If the broker successfully executes one of the orders on the exchange, the other order will be automatically cancelled and no longer valid.

(4) Cancel the instruction

Undo instruction can be divided into direct undo instruction and undo previous instruction. The direct revocation of the order is worthy of the name. They are only responsible for revoking the instructions issued by investors. For example, if an investor has issued an order to subscribe for futures contracts, but with the change of market conditions, he gradually finds that this subscription is unfavorable to him, and he can cancel the futures trading unfavorable to him by issuing a cancellation order to his broker. Revoking previous orders, also known as revocation and substitution orders, can not only revoke the orders already issued by investors, but also issue new orders at the same time. This kind of instruction generally only applies to those futures professionals.