A stop-limit order is one of the advanced order types available on BTSE.ID, in addition to market and limit orders. Before using this type of order, it's highly recommended to first understand how market and limit orders work.
A stop-limit order consists of two key components:
Stop Price: The trigger price that activates your limit order.
Limit Price: The actual price at which your asset will be bought or sold after the stop price is reached.
In other words, when the market price touches or crosses the stop price, the system will automatically place a limit order into the order book.
While the stop price and the limit price can be the same, it’s generally safer to set the stop price slightly higher than the limit when selling, or lower than the limit when buying. This increases the likelihood that your order will be executed.
How to Use a Stop-Limit Order on BTSE.ID
For example, suppose you buy 0.078 BNB at a price of 401,816 IDR because you believe it is a strong support area and expect the price to rise.
However, to protect your position in case the price drops instead, you can set a stop-limit sell order with:
Stop Price: 401,616 IDR (trigger price)
Limit Price: 401,416 IDR (execution price)
Amount: 0.078 BNB
After filling in the details, click the “Sell BNB” button and confirm your order in the pop-up window. The order will become active once the market price hits or goes below 401,616 IDR, and it will attempt to execute at 401,416 IDR.
Important Things to Note
A stop-limit order won’t appear in the order book until the stop price is reached.
If the market price never reaches your limit price, your order will remain open (unfilled).
In highly volatile market conditions (when prices drop or rise quickly), there’s a risk your order may not be executed in time. In such cases, you may want to consider using a market order to exit your position more quickly.
When Should You Use a Stop-Limit Order?
Stop-limit orders are especially useful for:
Managing risk and preventing large losses
Securing profits when your price target is reached
Entering the market after a price breakout above resistance (in the case of a buy stop-limit order)
By understanding how stop-limit orders work and how to use them effectively, you can build safer and more efficient trading strategies on BTSE.ID.
If you have any further questions, please contact BTSE.ID's Customer Support team .
