Hyperliquid Order Types Explained
Market, limit, stop, take-profit, scale, TWAP, post-only, and IOC orders without the trading jargon.
An order type controls when an order becomes active, what price it can accept, and what happens to any quantity that does not fill immediately. Choosing an order type is an execution decision rather than a directional thesis.
Market orders prioritize speed
A market order trades against the best available resting liquidity until the requested quantity is filled or the order reaches its execution constraints.
The advantage is immediacy. The cost is price uncertainty. A large market order can consume several levels of the book and produce slippage, especially when depth is thin.
A trader should therefore look at the book, not only the best displayed price, before using a large market order.
Limit orders prioritize price control
A limit order specifies the worst price the trader is willing to accept. If the market is already available at that price or better, the order can execute immediately. Otherwise, it can rest on the book if its time in force allows it.
A limit price protects against paying beyond a chosen level, but it does not guarantee execution. The market can move away and leave the order unfilled.
Time in force changes order behavior
Good Til Cancel lets an order remain active until it fills or is cancelled.
Post Only, also called ALO, requires the order to add liquidity. If it would immediately cross the book, it is rejected rather than becoming a taker.
Immediate or Cancel attempts to fill immediately and cancels any remaining quantity.
Reduce Only prevents an order from increasing exposure. It can only reduce an existing position, which is useful for exit logic and risk controls.
Stops and take profit orders add triggers
A Stop Market order activates a market order when its trigger condition is reached. A Stop Limit activates a limit order instead.
The difference becomes important during fast moves. A market trigger prioritizes getting out but can suffer slippage. A limit trigger protects the worst execution price but may fail to fill if the market moves through the limit too quickly.
Take Profit and Stop Loss Orders covers trigger behavior in more detail.
TWAP and Scale split larger execution
A Scale order distributes several limit orders across a chosen price range.
A TWAP divides a larger order into smaller pieces over time. Hyperliquid's documented implementation sends suborders on a schedule and can adjust later sizing if earlier pieces fall behind.
Splitting an order can reduce immediate market impact, but it creates timing risk because the market can move while the program is still executing.
Choose based on the execution problem
Use marketable orders when immediacy matters more than price certainty. Use passive limits when price control and maker treatment matter more than guaranteed execution. Use triggers to automate exits, and use TWAP or Scale when one large order would reveal too much size or move the book.
Continue reading
Read How an Onchain Order Book Works for matching and depth, then Spread, Slippage, Depth, and Market Impact for the execution costs that should guide order selection.