<h2>One-Cancels-the-Other Order (OCO)</h2>
<p>An <strong>One-Cancels-the-Other Order (OCO)</strong> is a pair of orders placed with a broker, where the execution of one order automatically cancels the other. This strategy is commonly used in trading to manage risk and lock in profits. It's particularly useful in volatile markets where price movements can be unpredictable.</p>

<h2>How It Works</h2>
<p>An OCO consists of two orders:</p>
<ul>
  <li><strong>Stop Loss Order (SLO)</strong>: Placed below the current price if you're long, or above if you're short. It limits your potential loss if the market moves against you.</li>
  <li><strong>Take Profit Order (TPO)</strong>: Placed above the current price if you're long, or below if you're short. It locks in your profit when the market reaches a certain level.</li>
</ul>
<p>When one of these orders is executed, the other is automatically cancelled. For example, if your TPO is hit, your SLO is cancelled, ensuring you don't exit the trade at a loss after initially profiting.</p>
<p>On the <strong>MetaTrader 5 (MT5)</strong> platform, you can place an OCO order by right-clicking on the chart, selecting 'Trading' and then 'One Cancels the Other'.</p>

<h2>Why It Matters for Traders</h2>
<p>Using OCO orders can help traders in several ways:</p>
<ul>
  <li><strong>Risk Management</strong>: It helps limit potential losses by automatically closing a trade if the market moves against you.</li>
  <li><strong>Profit Lock-in</strong>: It ensures you secure your profits by automatically closing a trade when it reaches a certain level.</li>
  <li><strong>Hands-Free Trading</strong>: Once set, OCO orders work independently, allowing traders to focus on other tasks or trades.</li>
</ul>

<h2>Example</h2>
<p>Let's say you're trading EUR/USD with STB Provider, using a leverage of 1:300. You buy EUR/USD at 1.1800, placing a TPO at 1.1850 and a SLO at 1.1750. If the price reaches 1.1850, your TPO is executed, closing your trade at a profit. If the price falls to 1.1750, your SLO is executed, limiting your loss.</p>

<h2>Key Takeaways</h2>
<ul>
  <li>An OCO consists of a TPO and a SLO, which work together to manage risk and lock in profits.</li>
  <li>When one order in an OCO is executed, the other is automatically cancelled.</li>
  <li>Using OCO orders can help traders manage risk, secure profits, and trade more efficiently.</li>
</ul>