Which of the following orders can be entered in a futures contract in continuous trading if the last traded price is 5056.5?

The buy market order for 10 contracts, which is specified as Immediate or Cancel (IOC), is appropriate in continuous trading when the last traded price is 5056.5. A market order is designed to be executed at the best available price in the market, which means it can be filled immediately at the current market price or at the price prevailing in the market at that moment.

In scenarios like continuous trading, market orders are particularly effective because they prioritize execution speed over price, allowing traders to enter or exit positions rapidly based on the most current market conditions. Since the last traded price is notably lower than the specified levels in the other order types, this method ensures that the order will likely be filled without any restrictions or conditions that might delay execution.

On the other hand, the other order types involve conditions or limits that could hinder their execution in this scenario. Limit and stop orders require specific price conditions to be met before they can be executed, which wouldn’t guarantee an immediate fill based on current market dynamics.