Compared to the market order,a limit order may not be executed if the market is moving fast.

Question

Quizplus · Accepted Answer

A limit order specifies a maximum buy price or minimum sell price, so it may not be executed if the market price moves past the specified limit before the order is filled. This can happen when the market is moving fast and there are not enough orders at the specified limit. In contrast, a market order is executed immediately at the current market price, regardless of how fast the market is moving.

Compared to the Market Order,a Limit Order May Not Be