How is a limit order used?

A limit order allows traders to set a specific price at which they want to buy or sell. For example, if the current price is 1.2000, a trader can place a buy limit order at 1.1950. The order executes automatically once the price reaches the set level, but if it does not, the order remains pending. The advantage is precise entry at the desired price, but execution is not guaranteed. MIM’s platform allows easy placement of limit orders and linking them with stop-loss or take-profit settings.