OCO (One Cancels the Other) Orders
Note: We highly recommend reading our guides on limit and stop-limit orders prior to continuing.
An OCO, or ‘One Cancels the Other’ order, allows you to place two orders simultaneously. It combines a limit order with a stop-limit order, but only one can be executed.
In other words, once one of the orders gets partially or fully executed, the remaining one will be canceled automatically. Note that canceling one of the orders will also cancel the other one. When trading, you can use OCO orders as a basic form of trade automation. This feature allows you to place two limit orders simultaneously, which may come in handy for making a profit and minimizing potential losses.
A ‘One Cancels the Other’ (OCO) order consists of a pair of orders that are created concurrently, but it is only possible for one of them to be executed. This means that the other order will be automatically canceled as soon as one of the orders gets fully or partially executed. Although less common, OCO orders may also be referred to as Order Cancels Orders.
To create an OCO order, do the following:
- In your Spot Trading interface, click on the Stop-limit tab.
- Then click OCO in the drop-down menu.
This is the OCO interface.
Price: The price of your limit order. This order will be visible on the order book.
Stop: The price at which your stop-limit order will be triggered.
Limit: The actual price of your limit order after the stop is triggered.
Amount: The size of your order.
Next, we will look at an example OCO order.
We have set up this order to take profits at 17,100 USDT per BTC and also created a stop-limit at 17,000 USDT per BTC, which, once reached, creates a sell order at 16,970 USDT for 0.009 BTC.
Remember, the limit order is our take-profit price, and this order will show up on the order book.
After placing your OCO order, you can visualize the details of both orders in the ‘Open Orders’ section.
The OCO feature is a simple but powerful tool that allows you and other users to trade more securely and versatilely. This particular type of order can help lock profits, limit risks, and help to enter and exit positions.