Scale Order
Scale Order is an order created with purpose to maximize potential gains if the investor accurately predicts future price movement. Scale order combines limit orders at incrementally decreasing or increasing prices, depending if it is a sell scale order or buy scale order.
If a trader predicts that a stock price will rise, he will engage sell scale order and sell one portion of shares with every rise in price and therefore experience maximized returns as long as price continues to rise.
If a trader believes that the stock will decline in price, he will engage buy scale order and buy one portion of shares with every next fall in price as long as price continues to fall.
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