Stop-limit
Definition · Level 0 · Market basics
Keep reading with Tradecraft
Without an account, you can read three definitions every 30 days. Tradecraft explains all 738 terms and strategies, with the lessons that teach them, flashcards that come back before you forget, quizzes and a payoff lab.
A trigger price that, once traded, activates a limit order instead of a market order: price control on the exit, at the risk of no fill if the stock gaps past the limit.
Example
Stop 27 / limit 26.50, stock opens at 25: nothing fills and you’re still long.
Where Tradecraft teaches it
Level 0 · Market basics, in the lesson “Order types & time-in-force”: Market, limit, stops and their cousins: what each guarantees and exactly how each one fails.
Related terms
- AONAll-or-none: the whole quantity or nothing, but unlike fill-or-kill the order may keep working until a complete fill is available.
- FOKFill-or-kill: execute the entire quantity immediately or cancel the whole order; no partial fills.
- GapA jump between one close and the next open, or between two consecutive trades, with no trading in between, usually on overnight news; stops fill at…
- IOCImmediate-or-cancel: execute whatever quantity is available right now and cancel the unfilled remainder; partial fills allowed.
- Limit orderAn order to buy at or below, or sell at or above, a stated price: the price is protected, but it may never execute.
- Market orderAn instruction to buy or sell immediately at the best available prices: execution is near-certain, the price is not.