difference between limit and stop orders.

Okay so i used to be a market order kind of a guy as i never trade news or other wide spread scenarios. However due to various reasons i am being encouraged to check out buy and sell limit orders as well as buy and sell stop orders. I fell kinda silly asking this however i thought that limit orders were just a price that you had in mind and you placed the order at the price. Say EUR/USD is at 1.3430 and you enter a limit order at 1.3500 then when the bulls charge in your order is executed at 1.3500. I also thought limits orders can't have no stops.

Stop orders i thought were identical to limit orders with the exception that there was always a stop loss added in. So in the above situation when you set a buy stop order at 1.3500 when the price is currently 1.3430 you are good to go only you are forced to set a stop loss in your order before it is executed.

However the platforms i have demoing lately all seem to be different and my mind is getting hazy...

Any help?

An entry order (or a pending order) is an order that is placed outside of the market and will only be executed if the market hits your price. There are four types of entry orders. A buy limit is a buy order that you place below the current market price. A buy stop is a buy order that you place above the current market price. A sell limit is a sell order that you place above the current market price. A sell stop is a sell order that you place below the current market price.

You make it sound so easy. Thank you.

This comes w/ time mate I have spend almost 1/4 my life doing this.

nice thread...

ps : but don't forget... some times you have to set the expired date....
have a nice trading...

regards,