A limit order is an order to buy or sell a security at a specific price or better. A buy limit order can only be executed at the limit price or lower, and a sell limit order can only be executed at the limit price or higher. Example: An investor wants to purchase shares of ABC stock for no more than $10.3 days ago
What is an example of a limit order?
Understanding how limit orders work
"You set a specific price and your order will only be filled at that price or better. For example, if a stock is trading at $20 but you are only willing to pay $15, you can enter a limit order at $15.Aug 4, 2021
"You set a specific price and your order will only be filled at that price or better. For example, if a stock is trading at $20 but you are only willing to pay $15, you can enter a limit order at $15.Aug 4, 2021
What should I set my limit price at?
The Bottom Line
If you want to buy or sell a stock, set a limit on your order that is outside daily price fluctuations. Ensure that the limit price is set at a point at which you can live with the outcome. Either way, you will have some control over the price you pay or receive.
If you want to buy or sell a stock, set a limit on your order that is outside daily price fluctuations. Ensure that the limit price is set at a point at which you can live with the outcome. Either way, you will have some control over the price you pay or receive.
How long do limit orders last?
Limit orders: Make trade when the price is right
Sometimes the broker will even fill your order at a better price. Typically, you can set limit orders to execute up to three months after you enter them, meaning you don't have to watch compulsively to get your price.
Sometimes the broker will even fill your order at a better price. Typically, you can set limit orders to execute up to three months after you enter them, meaning you don't have to watch compulsively to get your price.
How do I buy stock limits?
How Do You Place a Buy Limit Order? To place a buy limit order, you will first need to determine your limit price for the security you want to buy. The limit price is the maximum amount you are willing to pay to buy the security. If your order is triggered, it will be filled at your limit price or lower.