A Limit Order is a type of Pending Order set in a direction opposite to what is profitable, in order to increase profits.
The types of Limit Orders are:
- Buy Limit: to buy at a price lower than the current ask price.
- Sell Limit: to sell at a price higher than the current bid price.
- Take Profit: to close a profitable position.
How to place a Limit Order
- Log into MT4/MT5.
- Open a new order by double-clicking your chosen instrument.
- Change Order Type to Pending Order.
- Select Buy Limit or Sell Limit from the revealed area under Type.
- Set the requested price, ensuring it stays within valid parameters in case of an invalid SL/TP message.
- Your Limit Order is now set.
Note that if you choose an expiry date that falls during a weekend, your order will expire before the market closes at the end of the current week.