When placing an order ("parent order") to open a position, you can choose to set an attached order (also known as "child order") to close the position when certain conditions are met. The attached order will not be submitted unless the parent order is fully filled and the trigger price is reached. By creating an attached order for taking profit or stopping loss, clients may better manage trading risks.
You can choose from the drop-down list of this field, which includes "None", "Profit Taker", "Stop Loss", and "Bracket". The default setting is "None", which means no attached order will be placed if you do nothing.
● Profit Taker Order
A profit taker order is a special limit order with an opposite direction to the parent order but the same symbol and quantity as those of the parent order. The limit price is called the Profit Taker Limit Price. A profit taker order is submitted after the parent order is fully filled and the Profit Taker Limit Price is reached.
● Stop Loss Order
A stop loss order is a special stop order with an opposite direction to the parent order but the same symbol and quantity as those of the parent order. The trigger price is called the Stop Loss Stop Price. A stop loss order is submitted after the parent order is fully filled and the Stop Loss Stop Price is reached.
● Bracket Order
A bracket order is comprised of a profit taker order and a stop loss order. Once the parent order is filled, either a profit taker or stop loss order will be triggered depending on which order’s trigger price is hit first. When one order is filled, the other is cancelled automatically.
Profit Taker Limit Price
The Profit Taker Limit Price is the trigger price of a profit taker order. After the parent order is fully filled, when the market price meets the Profit Taker Limit Price, a limit order with the Profit Taker Limit Price as the limit price will enter the market automatically.
Stop Loss Stop Price
The Stop Loss Stop Price is the trigger price of a stop loss order. After the parent order is fully filled, when the market price meets the Stop Loss Stop Price, the stop order will be triggered and a market order will enter the market.
Time-in-force
The time-in-force for an attached order can be Day or GTC (Good-Til-Cancelled). When a parent order is fully filled, the time-in-force for its attached order will take effect.
Let's say you place a limit order to buy 10 contracts at 199.8 when the market price is 200, and you attach a bracket order at a Profit Taker Limit Price of 205 and a Stop Loss Stop Price of 195. After the parent order is fully filled due to market volatility, the system will monitor the market price to see if it has met the Profit Taker Limit Price or the Stop Loss Stop Price.
If the market price reaches the Profit Taker Limit Price first, the profit taker order will be triggered, and a limit order will be submitted to sell the 10 contracts at the limit price of 205. In the meantime, the stop loss order will be cancelled automatically. If the profit taker order is fully filled before expiration, all positions resulting from the parent order will be closed out.
Suppose you place a limit order to sell 10 contracts at 200.1 when the market price is 200, and you attach a stop loss order at a Stop Loss Stop Price of 205. After the parent order is fully filled due to market volatility, the system will monitor the market price to see if it has met the Stop Loss Stop Price.
If the market price reaches the Stop Loss Stop Price, the stop loss order will be triggered, and a market order will be submitted to buy the 10 contracts. If the stop loss order is fully filled, all positions resulting from the parent order will be closed out.
1. A parent order is either a sell short order or a buy order. If you have positions to sell, you may not place a sell short order; if you have positions to buy back, you may not place a buy order.
2. Risk assessment for an attached order will not be conducted unless the parent order is fully filled and the trigger price of the attached order is met. If either child order in a bracket does not pass the risk assessment, both child orders will fail to execute.
3. After a parent order is fully filled, the resulting positions will not be frozen. However, if you execute any other trade that leads to a change in your positions, the triggered attached order may fail due to insufficient positions.
4. When a child order in a bracket order is cancelled or declined for any reason, the other child order will also be cancelled or declined.
5. If you modify the quantity of a parent order before it is fully filled, the quantity of its attached order will be automatically modified to the same amount.
6. A profit taker order or a stop loss order will only be triggered during the Continuous Trading Session.
7. If a parent order has not been fully filled by the time it expires, its attached order will be cancelled automatically upon expiration.
8. If a parent order is cancelled, all its attached orders will be cancelled automatically.
9. If a parent order is deleted, all its attached orders will be deleted automatically.