Stop orders are commonly used to exit positions and to protect against trading losses.
Stop orders to sell are placed below the current market level and are executed when the Bid price hits or breaches the price level specified.
Stop orders to buy are placed above the current market level and are executed when the Ask price hits or breaches the price level specified.
If the Bid price for sell orders (or the Ask price for buy orders) is hit or breached, the order becomes a market order and is filled as soon as possible at the price obtainable in the market.
Note that this price may differ from the price you set for the order.
In the case of Futures, the order will be filled if possible, and any remaining volume will remain open as a market order.
In the case of CFDs, the order will be filled completely if the volume in the market allows for it. In the case of a partial fill, the remaining portion of the order will remain open as an order.
In the case of Contract Options, due to restrictions in the market, Saxo Bank is not able to execute a Stop Order unless there is a traded price in the market. For this reason it is not recommended using stop orders for Contract Options.