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Posted by: DTravel on Oct 19, 13:11 in response to Quickslver99's post Limit orders

If you put in a BUY or COVER limit order, the price would have to be below its current price.  Once the price dropped to the price you set, the buy or cover order will trigger.

If you put in a SELL or SHORT limit order, the price would have to be above its current price.  Once the price rose to the price you set, the sell or short order will trigger.

Limit orders are not LOSS STOP orders.  They do not work to stop further losses once you have started to lose money.  You set them for when you want to stop making more money from the security.

 





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