How long stop loss order is valid

I am only a beginner and Iam yet to put my first trade.I have opened an account with sharekhan. I came to hear that if I want to put a stop loss order I will have to update it everyday.Is it true? Can I put stop loss order which is valid until cancelled?
For a stoploss order limit order is better or market order? Is it true that if the stock is going down fast,sometimes my limit price may not get executed?

Thanks in advance

Yes you will have to update your order every day.

Market is always better, limit may not get executed in case of gaps.

Indian market does not have "Good till Cancel" order. All non-executed orders are cleared at the end of the day..
So you have to enter new stop orders again.

[QOUTE]
For a stoploss order limit order is better or market order? Is it true that if the stock is going down fast,sometimes my limit price may not get executed
[/QOUTE]

There is no rule but I can tell based on what I use. For me the answer depends on the purpose of my stop order. If it is to cut the loss and close the position, I prefer to use market order cause it makes sure that I get out even if it is at slightly worse price. If I give a limit price to close the position and there is no one available to take opposite trade at my limit price, then my order will not be executed and my purpose of cutting the loss will not be met.

But if it is to get into new position, or add position (it is not exactly stop LOSS order but a stop order) then I prefer to give my limit price so that I am sucked by the the person taking other side of my trade.

Happy Trading.

I think you have a misconception about stop loss(SL).
Ex: If you have a SL of 60, then it means "sell below 60", and not "sell at 60".
Lets say you buy a scrip(share) at Rs. 50 in the hope that it will touch Rs. 55 and put the SL at 48. Instead of going up, it goes down to 48.7 and closes at 49. Next day, it opens at 47.9 - which is less than your stop loss. Thus, the system will automatically execute the order.

Also, there may be some preferential treatment of some orders due to order size, etc. I am not much aware of this thing, better if someone could shed some light of this aspect.

Get in the habit of using SL. If not used, it does not take much efforts and time to lose money.

Next your order will not be there.. In indian mkt, all pending orders are cleaned up by End of the day. So u got to place new stoploss order for tomorrow.
And if in your stoploss order, you have mentioned Limit price (say to sell only at 48 and there is next buyer ready to pay only 48.5 then ur order will remain hanging there and mkt may keep falling.
That is shortcoming of stoploss order and as a trader we need to understand it and discount it.

No dear. Market provides level playing field for everybody. Order processing is handled by computerized system. So if your order is ahead of big order in price queue, your order will be executed first... Observe the order flow on your brokers terminal and u will see it happening day in and out.

Well said.

Happy Trading