A limit order is a buy or sell order with a determined price condition.
This type of order provides security to the investor, but it may take some time for the order to be executed.
Limit order to buy
If the offered purchase price is too low, there may be no seller who has an offer compatible with your buy order. Your limit order will therefore not be executed immediately.
In this case, you should wait until the sellers lower their price or modify your order with a higher limit.
If your limit is higher than a seller's offer, the seller's offer will be accepted and your order will be partially or fully executed.
Partial execution occurs if the quantity offered by the seller is less than the quantity specified in your order. It is possible that your order may be executed by combining bids from several sellers.
Limit order to sell
If this price is too high, there may not be a buyer who has a compatible offer for your sell order. Your limit order will therefore not be executed immediately.
In this case, you should wait until the buyers increase their price or modify your order with a lower limit.
If your limit is lower than a buyer's offer, the buyer's offer will be accepted and your order will be partially or fully executed.
Partial execution occurs if the quantity requested by the buyer is less than the quantity specified in your order. Your order may be executed by combining bids from several buyers.
