How to use limit orders as market orders?
A limit order can be placed as a market order by doing the following:
- Placing a buy order with a limit price above the last traded price(LTP).
- Placing a sell order with a limit price lower than the LTP.
Both scenarios will trigger the limit order to execute similarly to a market order as it instructs to fulfil the order at any price up to the limit specified. The advantage of using a limit order is that the specified limit price acts as a protection, preventing the order from being executed beyond that price.