What is Limit order - Trading in MY (Securities)?

A limit order is an order to buy or sell, and has a specified limit price at the time of entry. A limit order can be executed at the limit price or at better prices.

A buy limit order can only be matched at the limit price or lower; and a sell limit order can only be matched at the limit price or higher. An incoming limit order can match with multiple orders on the opposite site of the order book at prices up to the limit price specified.

Example: Assume the current market price is MYR20:

BUY: If you submit a buy limit order at MYR18, and later the market price drops to MYR18, the buy limit order will be triggered and filled at a price no more than MYR18 (assuming there are sufficient shares to fill your order).

SELL: If you submit a sell limit order at MYR22, and later the market price rises to MYR22, the sell limit order will be triggered and filled at a price no less than MYR22 (assuming there are sufficient shares to fill your order).