What is the stop limit feature on GDAX and how does it work?

3 answers

• Souleymane TimboMay 18, 2022 · 3 years ago
  The stop limit feature on GDAX is a tool that allows users to set a specific price at which they want to buy or sell a cryptocurrency. It combines the functionality of a stop order and a limit order. When the price of the cryptocurrency reaches the stop price, a limit order is triggered. This means that the trade will only be executed at the specified limit price or better. For example, if you set a stop limit order to sell Bitcoin at $10,000 with a limit price of $9,900, the trade will only be executed if the price reaches $10,000 and the limit price of $9,900 or better is available. This feature is useful for traders who want to automate their trading strategy and protect themselves from sudden price fluctuations. To use the stop limit feature on GDAX, follow these steps: 1. Log in to your GDAX account. 2. Go to the trading page and select the cryptocurrency you want to trade. 3. Click on the 'Stop Limit' tab. 4. Enter the stop price and the limit price. 5. Choose the amount of cryptocurrency you want to buy or sell. 6. Click on the 'Place Order' button to submit your stop limit order. Please note that the stop limit feature is not available for all cryptocurrencies on GDAX, and there may be additional fees associated with using this feature. It's important to carefully consider your trading strategy and the potential risks before using the stop limit feature.
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• Dazai OsamuDec 21, 2020 · 4 years ago
  The stop limit feature on GDAX is a powerful tool that allows traders to set specific price levels at which they want to buy or sell cryptocurrencies. It provides more control over the execution of trades and helps traders protect their positions from sudden price movements. By setting a stop price and a limit price, traders can ensure that their trades are only executed when certain conditions are met. For example, if a trader wants to buy Bitcoin when the price reaches $10,000, but only if the price doesn't go above $10,100, they can set a stop limit order with a stop price of $10,000 and a limit price of $10,100. If the price reaches $10,000, a limit order will be placed at $10,100 or better. This way, the trader can enter the market at a specific price and avoid buying at a higher price if the market moves too quickly. The stop limit feature on GDAX is easy to use. Simply log in to your GDAX account, go to the trading page, select the cryptocurrency you want to trade, and click on the 'Stop Limit' tab. Enter the stop price and the limit price, choose the amount of cryptocurrency you want to buy or sell, and click on the 'Place Order' button. GDAX will then execute your order when the specified conditions are met. It's important to note that the stop limit feature is not foolproof and there are risks involved. The market can move quickly, and if the price doesn't reach the stop price, the order will not be executed. Additionally, there may be fees associated with using the stop limit feature. Traders should carefully consider their trading strategy and the potential risks before using this feature.
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• Sigitas PetrauskasOct 12, 2021 · 4 years ago
  The stop limit feature on GDAX is a useful tool for traders who want to automate their trading strategy and protect themselves from sudden price fluctuations. It allows users to set a stop price and a limit price for buying or selling a cryptocurrency. When the price of the cryptocurrency reaches the stop price, a limit order is triggered. This means that the trade will only be executed at the specified limit price or better. The stop limit feature is particularly useful for traders who want to enter or exit a position at a specific price. For example, let's say you want to buy Ethereum when the price reaches $500, but you don't want to pay more than $510. You can set a stop limit order with a stop price of $500 and a limit price of $510. When the price reaches $500, a limit order will be placed at $510 or better. If the price doesn't reach $500, the order will not be executed. It's important to note that the stop limit feature is not available for all cryptocurrencies on GDAX, and there may be additional fees associated with using this feature. Traders should carefully consider their trading strategy and the potential risks before using the stop limit feature.
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