Investor Glossary-limit priceInvestor Glossary-limit priceInvestor Glossary-limit priceInvestor Glossary-limit priceInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Limit Price

The HTML to link to this page
 

The price specified in a limit order is called the limit price. Limit orders instruct the broker to execute a buy or sell order only at the limit price or better. A buy limit order will not be executed above the limit price. Conversely, a sell limit order will not be executed below the limit price. Unlike market orders where the investor can't control the price at which the order is filled, a limit order assures the order is filled within a range defined by the limit price. A limit price outside of the current bid-ask spread is said to be "away from the market." Limit price orders may not be filled immediately or filled at all. In futures trading parlance, the limit price is the maximum price change up or down allowed in one trading day for a particular contract.



Rate this limit price definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: labor relations, balance sheet, VIX, implied volatility, current ratio, reverse mortgage, risk management, minority interest, option premium, inflation, EBITDA, average price per share, ex-dividend date, annual return, 144a, wholly-owned subsidiary, irrevocable trust, Key Rate Duration, APR, stock split, debt service coverage, deferred tax, 1031 exchange, LIBOR, real GDP, Zero Cost Collar, liquidity ratio, 1035 exchange, FTSE, phantom income, covered put, in escrow, stock market close, per diem, margin rate, open position, quality assurance, dividends payable, deferred revenue, required rate of return, FICO score, retained earnings, diluted share, 401a, class C shares, ex-dividend, command economy, limit order, cancelled check


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use