An order that becomes a market order when the stock hits a trigger price — used to limit losses.
Once triggered, a stop-loss executes at next available price (which can be worse than the trigger in fast markets). "Stop-limit" combines a stop trigger with a limit price for better control but risks no execution if the price moves through both.
An order that becomes a market order when the stock hits a trigger price — used to limit losses. Once triggered, a stop-loss executes at next available price (which can be worse than the trigger in fast markets). "Stop-limit" combines a stop trigger with a limit price for better control but risks no execution if the price moves through both.
In trading, Stop-Loss Order is one of the building blocks investors use to compare opportunities and assess risk. Understanding it helps you read research notes, earnings reports, and market commentary without getting lost in jargon.
Once triggered, a stop-loss executes at next available price (which can be worse than the trigger in fast markets). "Stop-limit" combines a stop trigger with a limit price for better control but risks no execution if the price moves through both..
Looking for more financial terms?
Browse Full Glossary →