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Q. What is limit order?
- An order to buy or sell at a certain price or higher is known as a limit order.
- Consider this scenario: You are in a store and declare, “I will only purchase this item if it costs ₹100 or less.” I won’t buy it if it’s more.
- For example, Reliance is currently trading at ₹2,800. You purchase one share at ₹2,750 by placing a limit order. Only if the price falls to ₹2,750 or less will your order be fulfilled.