What is a Limit Order?

A limit order (also known as a limit order) is an order for trading foreign exchange contracts at a price determined by the customer or a price at the time of performance. It is the second type of frequently used orders in foreign exchange trading orders. It specifies the highest price that buyers are willing to buy or the lowest price that sellers are willing to sell.

Limit order

The most important thing to use the limit commission strategy is to reasonably determine the limit price. For example, when buying securities, if

1.Advantages of limit commission strategy

Investors can buy securities below the market price or sell securities above the market price, thereby obtaining greater profits.

2. Defects of Limit Order

When the limit price deviates from the market price, it is prone to results that cannot be traded. Even if the limit price and the market price remain the same, if there is a market price commission at the same time, the market price commission will give priority to the transaction, thereby easily reducing the transaction rate.