Limit orders let you set the exact price at which you want to buy or sell a security:
Your order will only be filled at your specified limit price or better
During market hours, orders are triggered once the market reaches your limit price
If the market never reaches your price, the order remains pending or expires (depending on your order settings)
Limit orders are not guaranteed to fill, but they help control your execution price
Limit orders are ideal when:
You have a specific price target in mind
You want to manage slippage or avoid paying more (for buys) or selling for less (for sells)
Price control is more important than immediate execution