Market, limit and stop orders, in plain English

Know what the three basic orders do, when each one fills, and the mistake beginners make with each. Free lesson 2 of 13 in Tickfloor's course, no card needed.

Three ways to say “buy” (or “get me out”)

An order is the instruction you send your broker. There are three basic kinds, and each one makes a different promise.

A market order means “buy now at whatever the price is.” It is like grabbing a drink at the servo without checking the tag. You get it straight away, but you pay whatever it costs right now.

A limit order means “only if I get this price or better.” It is like telling someone selling headphones on Marketplace, “I’ll pay $80, not a cent more.” If they never come down to $80, you go home without headphones.

General information only. It doesn't consider your objectives, finances or needs.

Open the full interactive lesson (12 minutes), or see the whole free course.

More free lessons: What you can trade, and how, Long and short, Profit and loss (P&L).