Limit order

A limit order is an instruction to buy or sell a stock at a specific price or better. For a buy limit order, you set the maximum price you're willing to pay, and the order will only execute if the stock price drops to that level or lower. For a sell limit order, you set the minimum price you're willing to accept, and the order will only execute if the stock rises to that level or higher. Limit orders give you control over the price but do not guarantee that the trade will happen immediately or at all.