Hmm… let me give an example, assume a stock is trading at Rs 100
You want to buy it at a price below 100, say 98. You can place a limit order with price at 98. Only if the price comes down, order will get executed.
You want to buy it at 102, i.e a price above the current price. So this is you ensuring that you buy only when stocks start moving up. If you place a limit order at 102, since current price is 100, it will get bought at the market price itself.
To do this, you need a special order type, called trigger orders in this case buy trigger orders. So only when the price goes to 102, the order gets triggered. This is what SL orders can do.
Sometines the pending orders are cancelled by the exchange or the broker , due to any technical reasons .
My query is : those traders who have put the SL-M order , and went to some other work ; keeping faith in the system that the SL-M order , if triggered will surely execute ; how will they come to know that their pending SL-M orderz are got cancelled ?