9/13/2020
`
`Trading Information
`
` ABOUT | DEMO | LIVE | TRADING INFO |
` SERVICES | RESOURCES | HELP
`Types Of Orders
`Market Order | Stop Order | Limit Order | OCO Order | IBS Order
`| If Done Order
`
` LIVE Account
`Login DEMO
`Account Login
`Request Free
`Demo -
`Open a Live
`Account -
`
`Overview -
`Margin -
`Calculate Profit &
`Loss -
`User Guide -
`Phone Etiquette -
`Interest -
`Types of Orders -
`Types of Accounts
`-
`Fraud Disclaimer -
`
`Limit and stop orders will no longer be associated with any
`particular opened position held within the market. Instead, each
`stop or limit order will be a stand alone order that the Deal Desk
`will be obligated to execute once the appropriate level is reached
`and your overall position within the market duly adjusted to
`reflect. OCO orders (One Cancels Other) is an exception in that if
`one level is reached, the other level associated with the order will
`be cancelled.
`
`Market Order - An order to buy or sell which is to be filled at the
`price immediately available; the current rates at which the
`market is dealing.
`
`Example: If you are looking to place an order for JPY when the
`dealing price is 104.00/05, a market order will request to buy JPY
`at 104.00 or will request to sell JPY at 104.05.
`
`Stop Order - An order that becomes a market order when a
`particular price level is reached and broken. A stop order is
`placed below the current market value of that currency.
`
`Example: If you have an open buy JPY position, which you bought
`at 104.00 and you want to set a stop order in case JPY’s value
`starts to depreciate (to stop your loss). Since the JPY’s currency
`appreciates when the dealing rate moves from 104.00 closer to
`parity with the USD (102 JPY/1USD), a movement in the opposite
`direction would necessitate a stop order. For instance, you could
`set a stop order rate to sell JPY at 104.50, thus closing your
`position at a 50-pip loss.
`
`Limit Order - An order that becomes a market order when a
`particular price level is reached. A limit order is placed above the
`current market value of that currency.
`
`Example: If you have an open buy JPY position, which you bought
`at 104.00, and you want to set a limit order to protect your
`profit, you would set a limit order at a number, which indicates
`that JPY has appreciated, such as 103.5. When the market
`
`https://web.archive.org/web/20001210055500/http://www.mgforex.com/info/default.asp?loc=Orders
`
`1/2
`
`GAIN CAPITAL - EXHIBIT 1027
`
`

`

`9/13/2020
`
`Trading Information
`reaches 103.5, your position will automatically be closed,
`resulting in a 50-pip gain.
`
`OCO Order – One Cancels Other. An order placed so as to take
`advantage of price movement, which consists of both a Stop and
`a Limit price. Once one level is reached, one half of the order will
`be executed (either Stop or Limit) and the remaining order
`canceled (either Stop or Limit). This type of order would close
`your position if the market moved to either the stop rate or the
`limit rate, thereby closing your trade, and, at the same time,
`canceling the other entry order.
`
`Example: If you have an open buy JPY position, which you bought
`at 104.00, and you want to set a limit and a stop order, you could
`place an OCO order. If your OCO limit rate was 103.5 and OCO
`stop rate was 104.50, once the market rate reaches 103.5, the
`original JPY position would be closed and the stop rate would be
`canceled.
`
`IBS Order - Internet Brokerage System Order. Order placed that
`is visible to all clients of MG Financial Group using the system at
`that time. IBS Orders are live orders that are executable from
`time of placement until time of removal. Orders may be placed at
`any level that the client wishes to deal at.
`
`Example 1: If you want to buy JPY at 103.95, but the market is
`at 104.00/05, you can place an IBS order for another trader to
`accept to sell JPY to you for 103.95.
`
`Example 2: Traders using this mechanism can also minimize the
`5-pip price spread. For instance, a trader who wants to buy JPY at
`a discount can offer an IBS sell order at 104.03, while the market
`is at 104.00/05, another trader can elect to buy JPY for 104.03,
`thereby reducing the price spread to 3 pips.
`
`If Done Order – If Done Orders are supplementary orders
`whose placement in the market is contingent upon the execution
`of the order to which it is associated. An If Done Stop order
`attached to an IBS Order will only become a live order upon
`execution of the Original IBS Order. Upon execution of the IBS
`Order, the Stop Order will be placed. If the IBS Order is done
`(executed), then the Stop Order will be placed in the market.
`
` Printer friendly format
` ABOUT | DEMO | LIVE | TRADING INFO |
` SERVICES | RESOURCES | HELP
` Copyright © 2000 MG Financial Group. All rights reserved.
`
`https://web.archive.org/web/20001210055500/http://www.mgforex.com/info/default.asp?loc=Orders
`
`2/2
`
`