What is “Stop-Limit Order”?
Stop-Limit Order: Users can set a Stop price and a Limit price in advance. Once the stop price is reached, the limit order will be automatically placed at the Limit price set.
Terms
Stop price: It’s the triggered price you set to decide when it will be placed at the Limit price set. Once the stop price is reached, the limit order will be automatically placed at the Limit price set.
Limit price: It’s the price of the stop-limit order when the stop price is triggered.
Amount: It’s the amount of the stop-limit order when the stop price is triggered.
FAQ
1. How to place a “Stop-Limit” order?
For a “Stop-Limit” order, we will mark “The current market price” as A and “Stop price” as B. In this case:
- Buying: Please make sure the triggered price is HIGHER than the current price, i.e. B > A.
- Selling: Please make sure the triggered price is LOWER than the current price, i.e. B < A.
Once the stop price is reached, the limit order will be automatically placed at the Limit price set.
Example 1: Place a buying stop-limit order
In this example, we’ll assume that the current price of BCH against USDT is 500. However, you are thinking that 600 USDT might be the resistance level and would like to buy 10 BCH when the highest bid reaches to or above 600 USDT, because you believe its price will be likely to rise higher and you’ll be ready to build up the position.
Then you can place the selling order:
Once the 600 USDT is reached, the limit order (like “buy 10 BCH at a price of 620 USDT”) will be automatically placed at the Limit price set.
Example 2: Place a selling stop-limit order
Suppose BCH is currently trading at 500 USDT, you consider 400 USDT is the support price, so you’d like to sell 10 BCH if the lowest ask drops to or below 400 USDT, because you believe its price will be likely to crash and you’d like to stop the loss.
Then you can place the selling order:
Once the 400 USDT is reached, the limit order (like “sell 10 BCH at a price of 380 USDT”) will be automatically placed at the Limit price set.
2. Why were my stop-limit orders failed?
Your stop-limit order will not be placed if there isn’t sufficient balance to buy/sell in your account. Please try again after funding the account.
3. The stop price is already reached but my stop-limit order hasn’t been placed. Why?
1) Buying: If there isn’t sufficient balance to buy the coins/tokens when the current price reached the stop price, the order will not be placed at the Limit price set.
2) Selling: If there isn’t sufficient coins/tokens to be sold when the current price reached the stop price, the order will not be placed at the Limit price set.
4. Will my assets be frozen after I submitted the stop-limit order?
No, your assets will NOT be frozen after you submitted the stop-limit order.
Please note that your account should have sufficient balance before the stop price is reached, otherwise these orders will NOT be placed at the Limit price set.
