There is a specific purpose behind each type of conditional order.
Using the right order type can make a huge difference in managing your potential gains and losses.
Plan your trade ahead by setting up in advance where exactly you want to enter and where you are getting out.
Below is a guide on when to use a Stop-Limit Order and a Limit-if-Touched Order:
|Stop-Limit Order||Limit-if-Touched Order|
While it is important the position of the trigger price is crucial in entering the right conditional order type, the limit price can be placed anywhere relative to the current market price and trigger price. However, if the limit price is too high (in the case of a sell order) or too low (in the case of a buy order), the order may not be filled which will do you no good.