If u want to buy something above 112 when the cmp is 110 then you will have to place a sl order. A normal order will imediately show up as buy xx @112. When the ltp is 110. It is just like in an auction. Or eg in a market something is being sold for 20 and u want to buy it for 23 everyone wil be ready to sell it for 23. So u dont want the order to come up on the exchange before price hits 112. So u have to keep SL order with trigger at 112. So that the order comes up when 112 is reached not before that.
In the above scenario, I want to buy and sell immediately then can I place orders even before one of them gets executed or none of them get executed?
Firstly, say if I place a buy order CMP/LTP as 110 for the above as 50@112 with Price=112 and TrigPrice=111.75. Its not executed and lying in the system(Stop Loss Book) until triggered.
Secondly as soon as I place the above buy order with the above not executed yet. Can I place a sell order with these conditions:
1. with the assumption, price might go up than my buy order (BookProfit)
Sell 50@115 with Price=115; TrigPrice=115.5
2. with my assumption going wrong and prices spiral downwards than my buy order then in that situation (StopLoss)
Sell50@109 with Price=109; TrigPrice=109.25
So can I place the 3 orders as mentioned above even before any of the conditions are met or get hit.
Also I want to confirm once again that there are always going to be 2 orders (Book Profit, and StopLoss) placed for every Sell(Shorting) or Buy(normal) order. One is to Book Profit and the other to Stop Loss.