Disliked{quote} Thanks for the reply! Appreciate the help! Market orders move price, plain and simple? When you see price move away from a demand zone, its market orders that caused that , not limit orders stacked at that level? Cause standing order only provide liquidity for market orders which will create pressure(market Orders) one way or the other at these levels?Ignored
Ex: If the bid/ask on EU is 1.3114/1.3116, you may have buy limit at 1.3114 but say the Fed announced that it's going to be increasing QE, you need to get in that buy trade now (immediacy). You'll execute a market order to meet the ask at 1.3116 and be filled. Now if you consumed sell orders at 1.3116, the bid/ask will be 1.3114/1.3117, last trade being @ 1.3116. If there's decent liquidity, then the bid will move to 1.3115. If not, the spread will stay 3 pips @ 1.3114/1.3117 (spread widening).
As Cindy pointed out, there are stop-limit orders which are placed on the limit side of the market, but turn in to market orders once price reaches them. aka "stops"