WHAT IS AN ORDER BOOK
The term order book refers to an electronic list of buy and sell orders for a specific asset.
The order book is where all buy and sell orders for a trading pair are collected and matched.
On conventional exchanges, every trading pair has its own order book so that means BTC/USD vs BTC/ETH are diffrent order books.
Market orders, limit orders, and stop orders are common order types used to buy or sell using an order book.
MARKET ORDERS
If you care less about the exact price and more about having your trade executed as quickly as possible, you can use a market order.
Market orders typically allow you to buy or sell at the best available market price. For buyers, this will generally be the lowest current ask.
For sellers, it will generally be the highest current bid.
Market orders are useful if prices are changing fast and you want to enter or exit your position as soon as possible.
That said, market orders may not get you the best price possible, especially if you're trading large volumes.
Slippage happens when there isn't enough of an asset available at the current market price to completely fill a market order.
As a buyer, this can result in part of your order being filled at a higher price.
LIMIT ORDERS
A limit order lets you set a maximum price for the order - it will only execute at this price or better.
STOP LIMIT ORDERS
Stop-limit orders allow you to automatically place a limit order to buy or sell when an asset's price reaches a specified value, known as the stop price. This type of order can help traders protect profits and limit losses.
BRACKET ORDERS
A bracket order is an advanced order that allows you to simultaneously set a predefined "limit price" and "stop price" for an asset you already hold.
This allows for two opposite limit orders to be set in either direction of price.
1st order to excute will at the same time close the 2nd order
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