A market order is to buy or sell at the best average market price, so it is designed for an immediate transaction. A limit order allows you to buy or sell at a fixed price that you determine. The advantage of limit orders over market orders is that they can ensure a better average fill price.
You should use limit orders when you are not in a rush to buy or sell. Unlike market orders, the limit orders are not executed instantly, so you need to wait until your ask/bid price is reached. Limit orders allow you to get better selling and buying prices and they are usually placed on major support and resistance levels. You may also split your buy/sell order into many smaller limit orders, so you get a cost average effect.
1. Limit orders on Bitwells will not occupy margin like other trading platforms.
When the market price reaches the price you set, if the available margin is not enough, then the order will be canceled.
2. If the account balance is enough, you can open a maximum of 15 limit orders.
3. The limit orders are valid until they have been confirmed or canceled by yourself.
For placing a limit order on Bitwells, please follow the steps below:
- Click “Limit” on the trading interface (next to the “Market” button)
- Input the open price and vol for your limit order
- Click Buy/Up or Sell/Down
Can I cancel the limit/pending order?
As long as the limit/pending order has not been executed, you can cancel it at any time you like.