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Order Types
What Is a Limit Order? Price Control at the Cost of Certainty
The limit order is how you stop paying full spread on every trade — if you’re willing to occasionally miss the fill.
NoVo Options Trading · 2026
A limit order fills only at your specified price or better — giving you price control at the cost of execution certainty. It’s the counterpart to the market order.
How it works
You set the worst price you’ll accept: a buy limit fills at your price or lower, a sell limit at your price or higher. If the market never reaches your price, the order doesn’t fill. So you never overpay — but you might not get done, especially if you set the limit too aggressively or the market runs away.
Why scalpers use limits
Limits let you work toward the mid instead of crossing the full spread — saving money on every trade, which compounds over many scalps. The tradeoff: on a fast move you may miss the entry chasing a better price. Many scalpers use a marketable limit (a limit set at or just through the current price) to balance fill certainty with slippage protection.
A limit order says “this price or better, or nothing.” It protects you from bad fills — and occasionally leaves you behind. That’s the deal.
The takeaway
Use limit orders to control your fill price and save the spread; accept that you’ll sometimes miss. It’s the default for cost-conscious scalping on liquid strikes. NoVo’s routing uses limit-style logic to pursue good fills automatically.
More on this: Why a Limit Order Above the Ask Still Fills at the Ask · What Is a Stop-Limit Order? A Stop With Price Control
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NoVo is a software tool for market analysis and for executing trades you initiate, not financial advice. This article is general education, not investment advice. Options trading involves substantial risk of loss, up to and including your entire capital. NoVo makes no guarantee of profit, win rate, or performance, and past results do not predict future outcomes. You are responsible for your own broker account, configuration, and trading decisions.