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TRADE AMERICA ACADEMY · Tools

Read charts. Understand orders.

Turn candles, prices and order types into clear concepts.

3 lessons · ~12 min · Introductory level
LESSON 01 / 03

One candle, four prices

High 108Close 105Open 100Low 971 intervalIllustrative prices · rising candle

Each candle summarises a time interval. The body connects open and close; wicks mark high and low. Colour depends on chart settings. The same sequence viewed over five minutes or one day tells different stories. Start with the time scale and never treat a visual shape as certainty about the next price.

Your turn
Does a candle show the future price?

LESSON 02 / 03

Market or limit?

01Market: available price
02Limit: defined price
03Execution can vary
Connect the concepts

A market order seeks execution at the available price, which may differ from the last quote. A limit order sets a maximum buying price or minimum selling price and may not execute. Consider the difference between execution priority and a price condition. Liquidity, order size and volatility affect the outcome.

Your turn
Can a buy limit at 100 execute at 102?

LESSON 03 / 03

Stops and gaps

01Price reaches trigger
02Order activates
03Execution depends on market
Connect the concepts

A conventional stop order becomes a market order when triggered. During fast moves or price gaps, execution may occur beyond the specified level. A stop-limit adds a price condition but may leave the position open. Check the rules and order types actually available on the platform.

Your turn
Does a conventional stop guarantee the exact specified price?

Educational examples, with no real trading. Local progress, without professional certification.

Educational reference: Investor.gov ↗
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