Binance, Exchanges

How Do You Do a Stop Limit in Binance?

A stop limit order is an order to buy or sell a security at a specified price or better, after the security reaches a specified stop price. A stop limit order is different from a regular stop order in that a stop limit order doesn’t become an active market order until the stop price is reached.

At that point, the order becomes a limit order, which is an order to buy or sell at a specified price or better.

If you want to place a trade using a stop limit, you’ll need to set two prices: the stop price and the limit price. The stop price is the price at which your trade will become active, and the limit price is the highest or Lowest price you’re willing to accept for the trade.

For example, let’s say you want to buy shares of XYZ stock. You set a stop price of $50 and a limit price of $49.50. If XYZ stock trades at or above $50, your trade will become active and turn into a limit order.

NOTE: WARNING: Trading on Binance is an inherently risky activity. Stop limits are a useful tool, but they can be tricky to use. If you do not understand how to use stop limits, please do not attempt to do so in Binance. If you do attempt to use them, be sure that you understand how they work and the risks associated with them, as mistakes can be costly.

If XYZ stock trades at $49.50 or below, your trade will be executed at that price.

Stop limits can be used to protect profits or limit losses on a trade. They can also be used to enter into a trade when you’re away from your computer and unable to monitor the market.

To place a stop limitorder on Binance, log in to your account and go to the “Exchange” page. From there, select the “Basic” trading interface and find the security you want to trade in the “Markets” list.

Once you’ve selected the security, enter your stop price and limit price in the “Stop-Limit” section of the “Buy/Sell” panel and click “Buy/Sell XYZ”. Your stop limit order will now be placed and will remain active until cancelled or executed.

A stop limit order can be a helpful tool for managing your trades but it’s important to remember that there’s no guarantee your trade will be executed at your desired prices. If the market is moving quickly, it’s possible your trade may not be executed at all.

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