A One-Cancels-The-Other (OCO) order is an important tool used by experienced traders to mitigate risk and enter the market. The OCO order consists of two conditional orders, stipulating that if one order executes, then the other is automatically canceled. This type of trading strategy combines a stop order with a limit order on an automated trading platform. When either the stop or limit price is reached and the respective trade is executed, then immediately afterward, both orders are cancelled out in what can be thought of as a single transaction.The primary benefit to using this type of strategy when entering trades into volatile markets such as foreign exchange or futures contracts lies in its ability to reduce risk while still allowing for potential gains from favorable market movements due to its simultaneous entry and exit points within each trade cycle.. By combining these two strategies together under one umbrella system it allows for greater control over how much money will be risked against any given position since both sides have already been preprogrammed ahead time which helps minimize losses should unfavorable conditions arise during active trading sessions .Overall , utilizing OCO orders can help traders manage their positions more effectively by providing them with additional layers protection from sudden downturns while also allowing them take advantage opportunities presented through short term fluctuations all at same time . As result , it’s become popular choice among those who wish maintain higher degree accuracy when entering into new trades without having worry about manually executing multiple transactions throughout day.