> For the complete documentation index, see [llms.txt](https://1ex.gitbook.io/1ex-smart-dom/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://1ex.gitbook.io/1ex-smart-dom/trading/transactions-and-the-logic-of-orders-placement.md).

# Transactions and the logic of orders placement

For opening a transaction or place any type of order one uses the hotkeys.

### Logic of orders placement

**Logic of orders for the Long position:** 

* Stop-Loss is less then the opening price **Long**
* Take-Profit is greater then the opening price **Long**

<figure><img src="/files/vN5bRTnHGP2OAodg6gX4" alt=""><figcaption><p>Пример выставления SL/TP для Long позиции</p></figcaption></figure>

Logic of orders for the **SHORT position:**&#x20;

* Stop-Loss is greater then the opening price **Short**
* Take-Profit is less then the opening price **Short**

<figure><img src="/files/TtAb5sV4bv2MvsEZKnF5" alt=""><figcaption><p>Пример выставления SL/TP для Short позиции</p></figcaption></figure>

#### Automatic change of the order volume TP/SL

A TP/SL order is placed additionally to an existing position. Therefore, if the position volume increases, then the volume of TP/SL orders also increases. If the current position is closed independently (without TP/SL) then applications are canceled.

### Stop-Market and Stop-Limit orders

Stop-order is triggered when the price reaches a certain level (above or below a specified point). One deals with a Stop-Market and **Stop-Limit** orders. The first ones are executed according to the market and the second ones as limit orders.

Stop-Market orders can be: -– **buy-stop** (order to buy) and **sell-stop** (order to sell).&#x20;

Buy-Stop order is placed when it is assumed that the price located at a certain level will continue to rise. Buy-Stop is placed in the seller zone and a purchase occurs if the price arrives a given level.

Sell-Stop is placed when it is assumed that the price located at a certain level will continue to fall. Sell-stop is placed in the buyer zone and a sale occurs if the price drops to a specified level.

Stop-Limit orders can be: -– **buy-limit** (order to buy) and **sell-limit** (order to sell).&#x20;

Buy-Limit order is placed when the price is expected to fall and then bounce off a support level and begin to rise. Buy-Limit is placed in the buyer zone, less then the current market price. A purchase occurs if the price drops to the specified level.

Sell-Limit is placed when the price is expected to rise and, having reached a certain level, begin to fall. Sell-Limit order is placed in the seller zone, greater then the current market price. A sale occurs if the price rises to a given level.

{% hint style="info" %}
Buy-Stop, Sell-Stop, Buy-Limit and Sell-Limit – these are pending stop-orders that are not related to an open position.&#x20;
{% endhint %}