What is the difference between a limit order and a stop order on GDAX?

3 answers

• Lorenzo TrecrociMay 30, 2022 · 4 years ago
  A limit order is an order to buy or sell a cryptocurrency at a specific price or better. It allows you to set a maximum price at which you are willing to buy or a minimum price at which you are willing to sell. This type of order gives you more control over the price you get, but there is no guarantee that your order will be filled if the market price does not reach your specified limit. On the other hand, a stop order is an order that becomes a market order once the specified stop price is reached. It is used to limit losses or protect profits. If you set a stop order to sell, it will be triggered and become a market order when the market price falls to or below your specified stop price. If you set a stop order to buy, it will be triggered and become a market order when the market price rises to or above your specified stop price. In summary, a limit order allows you to set a specific price at which you want to buy or sell, while a stop order is used to trigger a market order once the specified stop price is reached.
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• ManonDec 08, 2020 · 6 years ago
  When it comes to trading on GDAX, understanding the difference between a limit order and a stop order is crucial. A limit order gives you more control over the price you get, but there is no guarantee that your order will be filled. On the other hand, a stop order helps you limit losses or protect profits by triggering a market order once the stop price is reached. It's important to carefully consider your trading strategy and goals before deciding which type of order to use on GDAX.
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• capnjazzyApr 27, 2023 · 3 years ago
  As an expert in the field, I can tell you that a limit order and a stop order are two different types of orders that you can place on GDAX. A limit order allows you to set a specific price at which you want to buy or sell a cryptocurrency, while a stop order is used to trigger a market order once the stop price is reached. Both types of orders have their own advantages and disadvantages, so it's important to understand how they work before using them in your trading strategy.
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