<h2>Backorder</h2>
<p>A <strong>backorder</strong> is an order type in trading that allows you to place an order to buy or sell an asset at a specified price, even if the current market price is not available. It's like reserving an asset at a future price.</p>

<h2>How It Works</h2>
<p>A backorder is typically used when the current market price of an asset is not favorable for the trader. Here's how it works:</p>
<ul>
  <li>You specify the price at which you want to buy or sell the asset.</li>
  <li>The order is placed in the system and remains active until it's executed or canceled.</li>
  <li>If the market price reaches the specified price, the backorder is automatically executed.</li>
  <li>If the market price doesn't reach the specified price before the order expires, the backorder is canceled.</li>
</ul>
<p>Backorders are usually placed through your broker's trading platform. At STB Provider, you can place backorders using the MetaTrader 5 (MT5) platform.</p>

<h2>Why It Matters for Traders</h2>
<p>Backorders can be a useful tool for traders for several reasons:</p>
<ul>
  <li><strong>Risk Management</strong>: By setting a specific price, you can control your risk exposure. If the market moves against you, your backorder won't be executed.</li>
  <li><strong>Opportunity Capture</strong>: Backorders help you capture opportunities that you might miss due to being away from your trading screen or due to market volatility.</li>
  <li><strong>Diversification</strong>: Backorders allow you to diversify your trading strategy. You can use them alongside other order types like market orders or limit orders.</li>
</ul>

<h2>Example</h2>
<p>Let's say you want to buy EUR/USD at a price of 1.20000. The current market price is 1.20500, which is not favorable for you. You can place a backorder to buy 1 lot of EUR/USD at 1.20000. If the market price reaches 1.20000, your backorder will be executed, and you'll buy EUR/USD at the price you wanted.</p>

<h2>Key Takeaways</h2>
<ul>
  <li>Backorders allow you to place orders at a specified price, even if the current market price is not available.</li>
  <li>They can be used for risk management, capturing opportunities, and diversifying trading strategies.</li>
  <li>Backorders are placed through your broker's trading platform, like MetaTrader 5 at STB Provider.</li>
</ul>