Section 1 · Module 1.3
Order Types & Execution
5 min readWhat Is a Market Order on NSE?
A market order executes instantly at the best available price. A market buy matches the lowest ask; a market sell matches the highest bid.
Risk: In volatile or illiquid markets, fills can be significantly worse than the last traded price (LTP) on your screen.
What Is a Limit Order on NSE?
You specify the maximum buy price or minimum sell price. Buy limits execute at or below your price; sell limits at or above.
Trade-off: price control is guaranteed; execution is not. Unfilled orders rest in the book until matched or end of day.
Stop-Loss Orders (SL)
Dormant until the trigger price is hit, then activates as market or limit:
- SL-M: Becomes a market order — guaranteed exit, slippage possible.
- SL-L: Becomes a limit order — protects from slippage but may not fill on fast gaps.
Knowledge check
You short-sell Nifty futures at ₹24,000. You want an automatic exit if price rises to ₹24,050. What order?
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