Limit Price definition

Limit Price is the price you specify when you place buy or sell limit order. For example, a limit order to buy 1000 shares of ABCD at 8.5 (the limit price) means you will only buy 1000 shares of ABCD if/when it trades at/below 8.5. If ABCD does not trade at/below 8.5, your order will not be executed. A limit order to sell 2000 shares of BCDE at 14 (the limit price) means your sell order will be executed if/when BCDE will trade at/above 14.

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