Limit Order

A limit order tells your broker the worst price you're willing to accept. A buy limit executes only at your limit price or lower; a sell limit executes only at your limit price or higher. In exchange for that price control, you give up certainty of execution — if the market never reaches your price, the order simply sits unfilled.

You set two things: a side (buy or sell) and a limit price. The order rests in the book until price reaches your level or you cancel it. Common uses:

• Buying a pullback: place a buy limit near a support level so you only get filled if price dips to value.
• Selling into strength: place a sell limit at a target near resistance.
• Avoiding slippage: in thin or fast markets, a limit protects you from a bad fill.

Orders can be day-only (expire at the close) or good-til-canceled (GTC). The risk isn't a bad price — it's no fill, or a partial fill if only some shares trade at your price.

Limit orders are how disciplined traders enforce a plan. Rather than chasing price, you decide in advance the level that represents value or your target, and let the market come to you. They pair naturally with a stop-loss and a risk-reward plan — entry, invalidation, and target all set before emotion enters. The one habit to avoid is setting a limit so far from the market that it rarely fills, then chasing anyway.

Entry Point Trading frames each signal with a defined entry zone precisely so you can place orders like this deliberately — and we grade every call in the open.