What is Stop-Limit Order?
A stop-limit order is an order that has a limit price and a stop price. After the market price hit the stop price, a limit order of your preset price and amount will be automatically submitted in the order book.
- Stop Price: When the asset’s price reaches the stop price, the Stop-Limit order is executed to buy or sell the asset at the limit price or better.
- Limit Price: The selected price at which the Stop-Limit order is executed.
- You can set the stop price and limit price at the same price. However, it’s recommended that the stop price for sell orders should be slightly higher than the limit price. You can set the stop price slightly lower than the limit price for buy orders.
- Please note that if you set the stop-loss limit too high or the take-profit limit too low, your order may never be filled because the market price cannot reach the limit price you set.
- A limit order is invalid before the stop price is triggered.
Buy and Sell Example:
If the current market price on BTC is 20,000$, You can set the stop price above the current price such as 22,000$ or below the current price such as 18,000$. Once the price goes up to 22,000$ or drops to 18,000$, the stop-limit order will be triggered, and the limit order will be automatically placed on the order book.
How to place a Stop-Limit Order at Coinlocally?
- [Login] to your account and go to [Spot Trading] page.
- Choose your symbol such as BTCUSDT.
- Choose [Stop-Limit] order type.
- Set your [Stop] price, [Limit] price and enter the amount of crypto you wish to purchase.
Note: In the first box (Amount) you can see your assets values in BTC and in second box you can observe your assets value in USDT. Also, you can drag the bar to calculating your amount by system automatically.
- Now, you can click [Buy BTC] or [Sell BTC] to place your Stop-Limit order for buying and selling your assets.
- Your Stop-Limit Order will be placed in order book and you can see your order at the end of Spot page in [Open order] tab. When your order gets filled you can see it in [Order History] or [Trade History] tab.