Conditional Order Introduction
What is a Conditional Order?
How Conditional Orders Work
Key Price Terms in Conditional Orders
1.Trigger Price
2.Order Price
Types of Conditional Orders
1.Conditional Limit Order
2.Conditional Market Order
Common Uses of Conditional Orders in Perpetual Contracts
1. Opening a Position on a Breakout
Users can automatically submit an open order after the price breaks through a key level using a Conditional Order.
📚For example, if a user believes XAUUSD will continue rising after breaking 6,100 USD, they can set a Buy to Open Long Conditional Order with a trigger price of 6,100 USD.
2. Opening a Position on a Pullback
Users can also automatically submit an open order when the price pulls back to a target level.
📚For example, with the current price at 6,000 USD, a user wanting to Buy to Open Long only after a pullback to 5,900 USD can set a Conditional Order with a trigger price of 5,900 USD.
3. Take-Profit Close
For users who already hold a position and want to automatically close it when the price reaches a target, a Conditional Order can serve as a take-profit.
📚For example, a user holding a XAUUSD long position who wants to close at 6,200 USD can set a Sell to Close Long Conditional Order with a trigger price of 6,200 USD.
4. Stop-Loss Close
Is Execution Guaranteed After a Conditional Order Triggers?
A Conditional Order being triggered does not guarantee that the order will be filled.
If a market order is submitted after triggering, the system will fill as quickly as possible at the best available price, but the final fill price may differ from the trigger price.
If a limit order is submitted after triggering, it will fill at the order price or better. If the market price does not reach the fillable condition, or moves away quickly, the order may not fill or may only partially fill.
Why Did My Conditional Order Not Trigger?
A Conditional Order that has not triggered may be due to any of the following:
1.The market price has not yet reached the user-set trigger price.
2.The trigger price direction does not match the current market movement.
3.The market briefly moved but did not meet the system's trigger condition.
4.Order parameters do not meet the platform's risk control or trading rules.
5.The contract is suspended, under maintenance, or in an abnormal state.
Why Did My Conditional Order Not Fill After Triggering?
A Conditional Order that triggered but did not fill may be due to any of the following:
a: A limit order was submitted after triggering, but the market price did not reach the order price.
b: The market moved quickly and the price deviated from the order price after triggering.
c: Insufficient order book depth caused a partial fill or no fill.
d: The order was queued behind other orders with higher priority.
e: Insufficient account margin caused the order submission to fail or the order could not be filled after triggering.
f: Order quantity, price, or position direction does not comply with system restrictions.
Conditional Orders vs. Limit Orders
The key difference between a Conditional Order and a regular Limit Order is whether a trigger condition must be met first.
A regular Limit Order enters the order book immediately upon submission and remains pending until it can be executed.
A Conditional Order does not enter the order book immediately. It only submits to the order book once the market price reaches the trigger condition, at which point the system places the preset order type.
Conditional Orders and TP/SL
Take Profit and Stop Loss can be understood as applications of Conditional Orders specifically for closing positions.
When a user already holds a position, Conditional Orders can be used to set take-profit or stop-loss conditions. When the price reaches the target, the system automatically submits a close order.
For example, a user with a long position can set a high-price Sell to Close Long Conditional Order as take-profit, and a low-price Sell to Close Long Conditional Order as stop-loss.
Key Considerations When Using Conditional Orders
1.Triggering a Conditional Order does not guarantee execution.
2.The trigger price determines when the order activates; the order price is used for the actual submission after triggering. These are two distinct values.
3.A Conditional Market Order fills faster, but may result in slippage.
4.A Conditional Limit Order offers better price control, but may not fill.
5.In volatile market conditions, there may be a difference between the trigger price, order price, and final fill price.
6.Users should verify their account margin, position direction, order quantity, and price settings before submitting.
7.Perpetual Contracts are leveraged derivative products. Price volatility can lead to insufficient margin and forced liquidation. Please use with caution.