Stop-LimitOrder and Stop-LossOrder are two common order types in the financial market, which can help investors to better control risks and seize opportunities in the trading process.

1. Touch price description:

A trigger order is a conditional order that allows investors to automatically buy and sell when they reach a preset price. When the price of stocks, futures or other trading varieties reaches the preset price, the touch command will be automatically converted into a market command, so as to conduct trading operations.

The main function of touch order is to trade when the market price reaches the price level preset by investors, so as to lock in profits or reduce losses. For example, if investors expect the stock price to rise, they can set a touch price to pay the bill higher than the current market price. When the stock price reaches the preset price, the touch command will automatically execute the buying operation.

2. Stop loss instruction:

A stop-loss order is also a conditional order. Its function is to automatically execute trading operations to limit losses when the market price fluctuates in a direction unfavorable to investors. When the price of stocks, futures or other trading varieties reaches a certain preset price, the stop-loss order will be automatically converted into a market order, so as to conduct trading operations.

The main function of the stop-loss instruction is to stop the loss automatically when the market price fluctuates in a direction unfavorable to investors, thus helping investors to control risks. For example, if an investor holds a stock and is worried about the stock price falling, he can set a stop-loss selling order below the current market price. When the stock price reaches the preset price, the stop-loss order will automatically execute the selling operation, thus limiting the loss.

Summary:

Touch-price orders and stop-loss orders are commonly used in financial markets, which can help investors better control risks and seize opportunities in the trading process. The trigger order is used to perform trading operations at a preset price level, while the stop order is used to automatically stop losses when the market price fluctuates in a direction unfavorable to investors. Through the rational use of touch orders and stop-loss orders, investors can better control risks and improve the return on investment in the trading process.