[ MODULE_09 / MARKET_ORDERS_&_EXECUTION ]
How instructions become market execution.
Trading Foundations #5 — Orders: How You Interact With the Market
INITIAL_CONDITION
You now understand how profit is calculated.
→ Profit… or Loss.
In the professional world, this is called:
👉 how do you actually enter a trade?
👉 how do you tell the market what you want to do?
CORE_IDEA
You interact with the market through Orders.
An order is simply:
👉 your instruction to the market
MARKET_SIMPLIFIED
The market is a system of requests:
→ people who want to buy
→ people who want to sell
TWO_MAIN_TYPES
There are many types of orders.
But everything is built on two core ones:
👉 Market Order
👉 Limit Order
If you understand these — you understand execution.
MARKET_ORDER (SPEED)
A Market Order means:
👉 “Execute now — at the best available price”
You don’t control the price. You control the speed.
Example:
Price is around 10$.
→ you send a Market Buy
→ you get filled instantly
→ but not always at the exact price (10.1, 10.2…)
Market = speed over price
LIMIT_ORDER (CONTROL)
A Limit Order means:
👉 “Execute only at my price… or better”
You control the price. But not the execution.
Example:
Price is around 10$.
→ you place a Limit Buy at 9.
→ your order waits until someone agrees to sell at 9
👉 Limit = price over speed
STOP_ORDERS (PROTECTION)
There is one more type you must understand:
👉 Stop Orders
This is an “if–then” instruction:
→ “If price reaches this level — execute my order”
This is how you manage risk.
A Stop-Loss is an automated order:
“If price goes against me — I was wrong. Close the position.”
And the opposite:
👉 Take-Profit
An automated order to lock in profit — when price reaches your target.
THE_INTERACTION
Now combine everything:
→ Entry
→ Exit
→ PnL
→ Direction
Every trade is simply:
→ how you enter
→ how you exit
Using orders.
CRITICAL_UNDERSTANDING
*{Liquidity = available buyers and sellers at any moment. No liquidity = no exit}
When you send a Market Order:
👉 you take liquidity (you trade against existing orders)
👉 when you place a Limit Order:
you provide liquidity (you place orders others can trade against)
This is how the market actually functions.
THE_EDGE
Professionals don’t just choose direction. They choose execution. Because your entry and exit define your PnL.
A bad entry can kill a good trade.
Order Execution Simulator.
Interactive Order Sandbox
In the video, you heard that orders are your instructions to the market. Click any button below to see the practical difference between Speed, Control, and Protection.
NEXT_PHASE
Now you understand how traders interact with the market.
The next step:
👉 what does this system actually look like?
👉 where do all these orders go?
Let’s break down the Order Book.
