General

What is “Limit order”? How to place a limit order?

Limit orders are used to buy or sell a stock at a particular price. The order will only be executed at the limit price or better price (than limit price).

• BUY limit order is the maximum price you are willing to pay to buy the share.

E.g., a stock is trading at ₹100, placing a BUY Limit order at ₹90 would ensure that trade is executed at a price lesser than or equal to the limit price of ₹90.

• SELL limit order is the minimum price that you are willing to sell their share for.

E.g., a stock is trading at ₹100, placing a SELL Limit order at ₹110 would ensure that trade is executed at a price greater than or equal to the limit price of ₹110.

Note: Limit order may not be executed if the market price doesn’t reach or cross the limit price.

While trying to place a limit order, follow the same steps as placing a regular intraday order, and while entering the price click on “Limit” option as shown below.

Set the price you wish to set as the limit price and click “Buy”.