Limit Order
Also called: limit buy, limit sell
An order to buy below or sell above the current price — fills only at your specified price or better.
Definition
A limit order tells the broker: only fill me at this price or better. Buy limits sit below the current market; sell limits sit above.
Limits give you price certainty (you’ll never pay worse than what you set) but no fill certainty (the market may never trade at your price). They’re the standard tool for entering on pullbacks and exiting at planned targets.
Example
EUR/USD is 1.0850 and you want to buy on a dip to 1.0820. You place a buy limit at 1.0820. The order sleeps until price touches 1.0820, then fills.
Why it matters
Limits can be left behind in fast moves: price gaps through 1.0820 to 1.0815 and your buy limit either fills at 1.0815 (better) or skips entirely depending on the broker's execution model.
FAQs
Can a limit order fill at a better price?
Yes — fills are at your limit price or better. Sell limits can fill higher, buy limits can fill lower.