Market order vs Limit order- What's the difference?
When I was working in a broking firm I used to get queries from the new investors/traders that "Sir ye market or limit order kya Hota hai?" So today's blog is on this same topic and I'll explain what's the difference between a Market order and a Limit order . Let's first understand the market order, for an instance, you went to the market to buy some product and you're like whatever the price is I am ready to pay as I want the product instantly without any delay or hassle. So now I am assuming you have understood the concept of a market order, now let's take an example in the stock market term. The share of ABC is trading at Rs 100 and you want to buy it instantly no matter what price it gets executed. So when you place the market order your order will execute at whatever the best price is available, it can be 100, 101 or can be 103. Now Limit order , again you gone to the market to buy some product and this time you're like I...