An order which is to be executed only if another order is executed first. An...
A contingent order is one which is entered at the same time as a primary futures order but is queued internally by the XPRESSTRADE system until the primary order has been executed and the fill has been reported back to the XPRESSTRADE system. At that time, the contingent order is activated and is routed directly and electronically to its destination. Before you enter a contingent order, it's important that you understand that XPRESSTRADE accepts such orders strictly on a "Not Held" basis.
an order that executes when triggered by an outside event, like the achievement of a stock price or index level
A type of order that specifies some parameters that must be met before an order is filled. For example, stock traders betting on a breakout may want to buy only if a stock trades above a certain level and would place a "buy-stop" order to get in immediately after the stock trades at a defined price. Options traders wanting to enter an options trade immediately may place a "fill or kill" order. This means the order is either executed at the specified price as soon as it hits the trading floor or it's immediately canceled. Another type is an "all or none" order, which is only filled if all of the contracts requested are received.
An order given to a trading desk to buy stock and sell a covered call option. It is given as one order.
Is an order with at least one contingency attached. Contingencies can be specific times or events.
See Switch (Contingent, or Swap) Order
The placement of two orders in which one of the orders cannot be executed unless other one is executed. A customer, for example, places a buy order at the market and a sell limit order in which the buy cannot be executed unless the sell limit is executed. Contingent orders are discouraged by brokers because the order that cannot be executed immediately also usually cannot be placed until the other order is executed. See: Limit Order; Market Order; Orders
Securities order that depends on the execution of another order. For example, to sell 120 shares, the sale of the odd lot (20 shares) may depend first on the sale of the board lot (100 shares) at a specified price.
An order to buy stock and sell a covered call option that is given as one order to the broker.