Limit orders

A limit order is a type of trading instruction used in financial markets to buy or sell an asset at a specific price or better. For buyers, a limit order sets the maximum price they are willing to pay; for sellers, it sets the minimum price they are willing to accept. This means that the trade will only be executed if the market price reaches the specified limit, helping traders control their purchase or sale costs and avoid unexpected price changes. Limit orders can be useful for achieving desired pricing without immediate market fluctuations.