# Limit Orders

## Limit Orders

Limit orders allow you to set predetermined entry and exit prices for your trades, providing better price control and strategic positioning without constant market monitoring.

### Overview

Limit orders execute automatically when the market reaches your specified price, offering:

* **Price Control** - Set exact entry
* **Strategic Positioning** - Enter positions at favorable levels
* **Automated Execution** - No need to monitor markets constantly
* **Risk Management** - Avoid unfavorable market price movements

***

<figure><img src="https://content.gitbook.com/content/0pgQCieFiHpZQdjeVXjM/blobs/GiOWcvqwctONsfm41Onr/Limit-Order.gif" alt=""><figcaption></figcaption></figure>

{% tabs %}
{% tab title="How to Place Limit Orders" %}

#### Step 1: Switch to Limit Mode

1. Navigate to the trading page
2. Switch from **"Market"** to **"Limit"** order type
3. The interface will update to show limit order options

#### Step 2: Configure Your Order

1. **Set Price**: Enter your desired execution price
2. **Set Size**: Specify position size (minimum $10)
3. **Select Collateral**: Choose appropriate collateral asset
4. **Review Details**: Confirm order parameters

#### Step 3: Submit Order

1. Click "Place Limit Order"
2. Confirm transaction in your wallet
3. Order appears in the "Orders" tab
   {% endtab %}

{% tab title="Order Management" %}
Viewing Your Orders

* All active limit orders appear in the **"Orders"** tab under "**Limit Orders**"
* View order details including:
  * Market Asset
  * Side
  * Size
  * Collateral
  * Trigger Price

#### Editing Orders

1. Navigate to the "Orders" tab under "**Limit Orders**"
2. Select the order you want to modify
3. **Edit Trigger Price**: Change the execution price
4. **Confirm Changes**: Submit the updated order

#### Order Cancellation

* **Manual Cancellation**: Cancel orders anytime from the Orders tab
* **Automatic Cancellation**: Orders cancel if insufficient liquidity at execution time
* **Independent of Positions**: Limit orders remain active even after other positions close like TP/SL
  {% endtab %}
  {% endtabs %}

***

### Order Requirements

#### Price Constraints

* **Minimum Distance**: Orders must be **at least 0.5%** away from current market price
* **Execution Guarantee**: Orders execute at your specified price when liquidity is available

#### Collateral Requirements

You must use **like-collateral** for limit orders:

| Position Type       | Required Collateral | Example             |
| ------------------- | ------------------- | ------------------- |
| **Long Positions**  | Native asset        | SOL for SOL longs   |
| **Short Positions** | USDC                | USDC for all shorts |

#### Size Limits

| Parameter                      | Limit                 |
| ------------------------------ | --------------------- |
| **Minimum Order Size**         | $10                   |
| **Maximum Orders per Account** | 5 active limit orders |
| **Order Types**                | Entry orders only     |

***

### Execution Rules

{% columns %}
{% column %}

<h4 align="center">Successful Execution</h4>

✅ **Order executes when**:

* Market price reaches your specified level
* Sufficient liquidity is available in the pool
* Pool utilization allows for the trade size
  {% endcolumn %}

{% column %}

<h4 align="center">Failed Execution</h4>

❌ **Order cancels when**:

* Insufficient liquidity due to high pool utilization
* Pool cannot accommodate the full order size
* Technical issues prevent execution
  {% endcolumn %}
  {% endcolumns %}

<h4 align="center">Fee Application</h4>

* **Size-Based Spread**: Still applies to limit orders
* **Standard Trading Fees**: Apply as per normal trading
* **Execution Guarantee**: Price execution guaranteed at your limit price

***

### Best Practices

{% stepper %}
{% step %}

#### Strategic Positioning

* **Support/Resistance Levels**: Place orders at key technical levels
* **Dollar Cost Averaging**: Use multiple smaller orders at different price levels
* **Volatility Consideration**: Account for normal price fluctuations
  {% endstep %}

{% step %}

#### Risk Management

* **Monitor Pool Utilization**: High utilization may prevent execution
* **Set Realistic Prices**: Ensure orders are likely to be reached
* **Regular Review**: Check and update orders as market conditions change
  {% endstep %}

{% step %}

#### Collateral Management

* **Maintain Sufficient Balance**: Ensure you have required collateral
* **Asset Preparation**: Have correct collateral type ready before placing orders
* **Wallet Connectivity**: Keep wallet connected for order execution
  {% endstep %}
  {% endstepper %}

***

{% hint style="warning" %}

### Important Limitations

> **Order Persistence**: Limit orders remain active even after closing other positions and must be manually cancelled.

> **Liquidity Dependency**: Orders may cancel if pool utilization prevents execution of the full size.

> **Collateral Requirements**: You cannot use different collateral types - must match position direction.

> **Account Limits**: Maximum 5 active limit orders per account at any time.
> {% endhint %}

***

### Troubleshooting

#### Common Issues

<details>

<summary><strong>Q: Why is my limit order being rejected?</strong></summary>

* Check if price is at least 0.5% from current market price
* Verify you have sufficient collateral of the correct type
* Ensure order size meets $10 minimum

</details>

<details>

<summary><strong>Q: Why didn't my order execute at the target price?</strong></summary>

* Pool utilization may be too high
* Insufficient liquidity for your order size
* Market may have gapped past your price level

</details>

<details>

<summary><strong>Q: How do I cancel all my limit orders?</strong></summary>

* Go to the "Orders" tab
* Manually cancel each order individually
* Orders do not auto-cancel when positions close

</details>

<details>

<summary><strong>Q: Can I modify my order after placing it?</strong></summary>

* Yes, you can edit the execution price
* Order size modifications
* Changes require wallet confirmation

</details>