Stop orders and points away

[Nazao]

Hello! 
I have two questions:

1. I am trying to open both long and short positions in the same market for the same stock. I found i must have “force open” activated PLUS there must be stop orders for both order types. 
While trying to do so, it is giving me “-    + points away” for setting limit and stop orders.  

I am not sure what does ‘points away’ mean please? I am new to the platform and Have only done normal buy/sell without setting any ‘points away’.

2. Lets say I bought 10 shares @$20 and I want them to get auto sold once the price reaches $25. How do I set this? I saw this same options “points away” which I am not sure how it works.

Many thanks!

[AndaIG]

Hi @Nazao

Thanks for the feedback, 

The functionality to see the limit and stops as a monetary value is only on the web trading platform unfortunately. 

On a CFD account when buying shares a point is equivalent to one cent. So in your scenario you would be placing your limit 300 points away. That would be equivalent to a movement from $22 to $25. 

As soon as the market gets to $25 your limit would be triggered which would close the trade. 

All the best, 

Anda

[AndaIG]

Hi @Nazao

Thanks for reaching out, 

A limit represents your take profit level, whereas your stop is your stoploss level. 

Limit points away: Number of points the market must move in your favour before the trade will close automatically

Stop points away: Number of points the market must move against you before a trade will be automatically closed. 

If you would prefer to see this as a monetary value you can change it on the deal ticket as attached

All the best, 

Anda

[Nazao]

Hello Anda,

many thanks for your reply.

I tried with IG mobile app, it only shows stop type as none/normal/guarantee. Does not give the monetary amount option as shown in your screenshot.

Let me know if i m wrong - what does points away mean? I called up IG helpline, and I was told 1 point means $1? Lets say, I bought 10 shares @$20 and want to auto sell them at $25. Current market price is $22. So should I set +3 points away? Also, this should be a limit order as per my target auto sell? 
As the current market price will continuously change, how does the above +$3 points away work? Again, I am not sure if my concept of points away (as written above) is correct or wrong.

Many thanks Anda for your help.

 Thanks!

[Nazao]

Thanks so much Anda! I have set some limit for my shares the way you guided me through. The order has not executed yet….Hope this works out for me :).

Many thanks again.

Best,

Nazao

[AndaIG]

Hi @Nazao

There is a difference between a limit order and a limit. A limit order you are specifying a limit on an entry price, whereas on a limit you are taking profits. You should be using the deal ticket instead of the order ticket if you are looking to specify a take profit level. Limit orders are different, you can more about them from the following link: https://www.ig.com/uk/risk-management/limit-orders

All the best, 

Anda