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What is a limit order?
A limit order is a type of pending order that opens a trade at a better price than the current market price.
- Buy Limit: placed below the current price
- Sell Limit: placed above the current price
How it works
You set the price where you want to enter, and the trade is executed only if the market reaches that level.
When it is used
Limit orders are used when you expect the price to reverse after reaching a certain level.
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