Sell Limit Order

A sell limit order is an instruction by which an investor orders a securities broker to sell a certain security if and when the market price of that security reaches or exceeds a pre-specified threshold (the limit price).

Example: You want to sell 5000 shares in a certain stock, but only if the per-share price increases to 5 francs or higher. After some time, the stock’s rate increases to 5 francs per share. The broker then sells as many shares as possible at prices which exceed your limit price.

See also: Buy limit order

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