Pending orders are an important aspect of Forex and trading in general. In fact, some strategies are actually entirely based on pending orders. In this article you will learn about pending orders and how to submit and delete multiple and opposite pending orders in Metatrader MT4.
What Are Pending Orders
There are two main types of orders:
- Market Orders
- Pending Orders
Market orders are those orders that are immediately submitted to the broker and executed at the current market price.
Pending orders on the other hand are orders that are submitted to the broker but with the instruction to be executed at a specific price.
Pending orders are usually divided in four main sub-types:
- Buy Stop orders
- Buy Limit orders
- Sell Stop orders
- Sell Limit orders
This depends on the command, the open price and the current price.
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Pending Orders In MT4
The Metatrader MT4 platform is equipped to manage all the 4 above types of pending orders, but with some limitation.
If you wish to create a new pending order you can do so creating a new order and selecting pending order.
Then you can select the type of pending order, the open price and the optional stop loss and take profit.
To edit or delete a pending order you can use the trade tab and manage the pending orders one by one.
One of MT4 biggest limitations for people who heavily use pending orders is that with Metatrader you can only update or delete one pending order at a time.
Why Opening Opposite Buy Sell Pending Orders
There are cases where traders need, or want, to open opposite pending orders at the same time, but why?
Having opposite orders open at the same time can be seen as hedging, or risk limitation, but this is not to be confused with opposite pending orders.
Opposite pending orders are like triggers, waiting for a condition to be verified in order for the order to execute.
Some strategies are based on having opposite pending orders open and ready to execute.
This is usually done when a strategy wants to take advantage of rapid price movements.
When the price moves quickly a market order might not be fast enough to catch the move, while a pending order is always ready to trigger.
Other reason could be to have pending orders ready in case the price action happens when the computer is unattended.
The following are examples of use of multiple and opposite buy sell pending orders.
News Trading With Opposite Pending Orders
News are usually cause for increased volatility in the market.
Often before an important scheduled news you can observe a decrease in volatility, while waiting the result of a report or the details of a news release.
In this cases some traders like to place opposite pending orders in order to catch the price movement once the news is released.
Breakout Trading With Opposite Pending Orders
Breakout trading is another popular strategy.
When the price has been ranging for a while traders start to expect a breakout.
Some traders then bet on the breakout and place opposite buy stop and sell stop orders at the edges of the range.
In this way they can catch the breakout right when it happens.
Pull-back Trading With Opposite Pending Orders
Similar to the breakout strategy, the pullback strategy works on the opposite way.
When the price has been ranging for a while some traders might expect some further consolidation.
These traders then bet on the pullback of the price once it touches the edges, so they place opposite buy limit and sell limit orders at the edges of the range.
How To Open Opposite Buy Sell Pending Orders In MT4
As we mentioned before, MT4 is unable to manage multiple pending orders concurrently through the graphical interface, however, there are tools that can help.
If you wish to have a way to submit opposite buy and sell pending orders at the same time the following tool is the solution.
One Click Trading PRO EA For Metatrader 4 can submit opposite orders with only one click.
You can decide the open price or the distance or other parameters.
Try it out and simplify your trading.
How To Delete Multiple Pending Orders (Script)
Regarding the deletion of multiple opposite buy sell pending orders, MT4 can’t do it with only one click.
However, you can download this free simple script so you can delete opposite pending order in one click.
Pending orders are a powerful tool for traders but in some cases MT4 limits their use.
For an advanced use you can find the One Click Trade Pro, so you can open opposite buy sell pending orders at the same time.
If instead you want to delete multiple pending orders you can download the script.
For any further help needed feel free to contact us.