An Order is methods of making sure you get an exchange rate that is within your resources, and trying to prevent your financial plan from being broken. As soon as your desired exchange rate is achieved, the currency is automatically purchased for you regardless of what time zone it occurs. This will allow you more control over your financial plan and utilises the time you have in to make payment to try and achieve better exchange rates.

Limit Order (LO)

If there is a particular exchange rate you are looking to achieve, and have some time on your side then you can set up a Limit Order.  A Limit Order allows you to set a rate that meets your expectation level. As soon as your desired exchange rate is achieved, the currency is automatically purchased for you regardless of what time zone it occurs. Once purchased your account manager will notify you to allow you to send in your settlement funds.

Stop Loss (SL)

A Stop Loss works in exactly the same way a Limit Order does but offers you protection should the exchange rate start to move in the wrong direction for you. You can set a Stop Loss order as a worst case scenario, meaning that if the rate moves against you, you are guaranteed that the rate is secured at the agreed level and can’t get any worse.

One Cancels Other (OCO)

This is a combination of a Limit Order and a Stop Loss. Whilst it can be seen as ideal to place a Limit Order and try to achieve a rate better than the current market position there is always a chance that it may not be achieved and the exchange rate could move against you. The One Cancels Other trade allows you to set a best and worst case scenario and the rate is secured whichever level is achieved first. 

Key facts

Minimum deal size: No minimum
Maximum deal size: No maximum
Period: Usually any period to two years - longer periods are available in certain currencies
Currency pairs: Majority of currency pair can be traded freely