Bracketed buy order

A type of limit order where your entry point, exit point and stop loss point instructions are executed. This is a way to avoid huge losses and at the same time lock in profits should the stock turn your way.

Example of bracketed buy order:

Entry: 100 shares at $55 a share
Sell: 100 shares at $60 a share ($500 profit when stock reaches $60 a share)
Stop loss: 100 shares at $52 a share ($300 loss protection should the stock go further down to $40 a share)