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Slippage and spread?

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Grantx View Post
Purely talking limit orders here. Orders that are registered and waiting on the exchange. And thats what I meant with the original question, limit orders for stops instead of the standard market order.

So a limit order by definition guarantees that you get filled at the price you specified, but it does not guarantee a fill.

However in the case of a stop, you can't (for obvious reasons) put a simple limit order to get out.

Again, I am not 100% sure of the mechanism of the stop limit order. I know that when the level gets touched, the stop is automatically converted into a limit order but I am not sure of the implications.

For instance, I don't know if you risk that the stop for whatever reason does not get filled and remains as a limit order while price keeps going against you.

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