Mastering Blockchain - Second Edition

Orders and order properties

Orders are instructions to trade, and they are the main building blocks of a trading system. They have the following general attributes:

• The instrument name
• Quantity to be traded
• Direction (buy or sell)
• The type of the order that represents various conditions, for example, limit orders and stop orders are orders to buy or sell once the price hits the price specified in the order, for example, Google shares for 200 GBP. Limit order allows selling or buying of stock at a specific price or better than the specified price in the order. For example, sell Microsoft shares if price is 100 USD or better.

Orders are traded by bid prices and offer prices. Traders show their intention to buy or sell by attaching bid and ...