Forex brokers are able to provide currency traders with access to the forex exchange market though the interbank exchange allowing them access to the once unattainable market for small investors.
Depending on what type of system traders are utilizing they have several types of trades orders they can place. These orders can help traders handle different types of market conditions or actually even lock in gains once they have been realized making sure those gains do not turn into losses.
Limit orders are used in order to place take profit levels once a trade is opened. Limit orders are also called take profit orders because of this.
Traders use stop losses to protect their capital once a new trade is opened as well as to protect gains once a trade is in profit by moving the stop loss to lock in gains. Stop losses are a traders best friend and should always be used for each and every trade once they trade is put one.
