An order that can be used to protect profits or to limit losses is called a ____ order.

Question

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A stop order can be used to limit losses by automatically selling a security if it falls below a specific price, or to protect profits by automatically buying a security if it rises above a specific price. Market orders execute at the current market price and offer no protection against losses or a change in market conditions. Limit orders are set at a specific price and will only execute if the market reaches that price or better. Fill-or-kill orders must be executed immediately and in their entirety or not at all, which may not be suitable for protecting profits or limiting losses.

An Order That Can Be Used to Protect Profits or to Limit