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

3 answers

• Saikiran MuralaSep 03, 2024 · 10 months ago
  A stop market order is an order to buy or sell a cryptocurrency at the current market price once the stop price is reached. It guarantees execution but not the price. On the other hand, a stop limit order is an order to buy or sell a cryptocurrency at a specific price or better once the stop price is reached. It offers more control over the execution price but there is a risk of the order not being filled if the market moves quickly. For example, let's say you want to sell a cryptocurrency that is currently trading at $100. You set a stop market order with a stop price of $90. Once the price reaches $90, your order will be executed at the best available market price. However, if you set a stop limit order with a stop price of $90 and a limit price of $85, your order will only be executed if the price is $85 or better. If the price drops quickly to $80, your order may not be filled. In general, if you want to ensure execution, use a stop market order. If you want more control over the execution price, use a stop limit order.
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• Keerthi GadhirajuNov 18, 2020 · 5 years ago
  Stop market and stop limit orders are two types of orders that you can place on KuCoin to manage your cryptocurrency trades. A stop market order is a type of order that becomes a market order to buy or sell a cryptocurrency once the stop price is reached. This means that the order will be executed at the best available market price. On the other hand, a stop limit order is a type of order that becomes a limit order to buy or sell a cryptocurrency once the stop price is reached. With a stop limit order, you can set a specific price at which you want the order to be executed. When deciding between a stop market order and a stop limit order, it's important to consider your trading strategy and the current market conditions. If you want to ensure that your order is executed, regardless of the price, a stop market order may be more suitable. However, if you want more control over the execution price, a stop limit order can be a better choice. It's important to note that stop market and stop limit orders are not guaranteed to be filled, especially in fast-moving markets. It's always a good idea to monitor your orders and adjust them as needed.
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• Claes NorreenJan 27, 2025 · 5 months ago
  Stop market and stop limit orders are commonly used order types on cryptocurrency exchanges like KuCoin. A stop market order is an order to buy or sell a cryptocurrency at the current market price once the stop price is reached. It's a popular choice for traders who want to ensure execution and are less concerned about the exact price at which the order is filled. On the other hand, a stop limit order is an order to buy or sell a cryptocurrency at a specific price or better once the stop price is reached. This type of order gives traders more control over the execution price, but there is a risk of the order not being filled if the market moves quickly. When deciding between a stop market order and a stop limit order, it's important to consider your trading goals and risk tolerance. If you want to ensure execution and are less concerned about the exact price, a stop market order may be more suitable. However, if you want more control over the execution price and are willing to accept the risk of the order not being filled, a stop limit order can be a good choice.
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