OCO Order
A pair of linked orders where filling one of them automatically cancels the other immediately.
OCO stands for "one cancels the other." You set a take-profit above the market and a stop-loss below it on the same position. Whichever triggers first executes, and the other is pulled instantly.
It saves you from the trap of having both fire, say, getting stopped out and then accidentally re-selling on a bounce. It's the standard way to bracket a trade with one defined exit on each side.
Related terms
A standing order to sell once price rises to a target, locking in gains automatically.
Stop-Loss OrderA standing instruction to sell once price falls to a set level, capping how much you lose.
Stop-Limit OrderA stop order that, once triggered, places a limit order instead of selling at market.
Limit OrderAn order to buy or sell only at a chosen price or better, which may not fill at all.