Question 58—A Limit Order

A limit order is preferable to a market order for all of the following reasons except:
1. It prevents slippage.
2. It guarantees execution.
3. It works best for entering trades.
4. It is useful for taking profits at target levels.

Get The New Sell and Sell Short: How to Take Profits, Cut Losses, and Benefit from Price Declines, Expanded Second Edition now with the O’Reilly learning platform.

O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.