A disadvantage for a buyer who places a limit order is that the investor might miss an excellent opportunity if the stock price rises.

Name: A disadvantage for a buyer who places a limit order is that the investor might miss an excellent opportunity if the stock price rises.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A limit order instructs a broker to buy or sell a stock at a specific price or better. If the stock price rises above the limit price, the buyer's order may not be filled, missing out on potential gains.

A Disadvantage for a Buyer Who Places a Limit Order