Buy Stop Order

An order to buy a security which is entered at a price above the current offering price. It is triggered when the market price touches or goes through the buy stop price.

People using a buy stop hope to gain if momentum gains on a particular stock. If the price exceeds the price you have set, it will automatically trigger a market order.


Investment dictionary. . 2012.

Look at other dictionaries:

  • buy stop order — A buy order not to be executed until the market price rises to the stop price. Once the security has broken through that price, the order is then treated as a market order. Also known as a suspended market order. Often used to protect against… …   Financial and business terms

  • buy stop order — Fin an order to buy stock when its price reaches a specified level …   The ultimate business dictionary

  • Stop order — (Finance) An order in a financial market that aims to limit losses by fixing a figure at which purchases shall be sold or sales bought in, as where stock is bought at 100 and the broker is directed to sell if the market price drops to 98. Note:… …   The Collaborative International Dictionary of English

  • stop order — n. an order to a broker to buy or sell a certain stock when a specified price is reached …   English World dictionary

  • stop order — An order to buy or sell when the market reaches a specified point. A stop order to buy becomes a market order when the futures contract trades (or is bid) at or above the stop price. A stop order to sell becomes a market order when the futures… …   Financial and business terms

  • stop order — noun an order to a broker to sell (buy) when the price of a security falls (rises) to a designated level • Syn: ↑stop loss order • Hypernyms: ↑order, ↑purchase order * * * noun : an order to a broker to buy or sell at the m …   Useful english dictionary

  • Stop order — An order to buy or sell at the market when a definite price is reached, either above (on a buy) or below (on a sell) the price that prevailed when the order was given. The New York Times Financial Glossary * * * stop order stop order also stop… …   Financial and business terms

  • Stop Order — An order to buy or sell a security when its price surpasses a particular point, thus ensuring a greater probability of achieving a predetermined entry or exit price, limiting the investor s loss or locking in his or her profit. Once the price… …   Investment dictionary

  • stop order - open outcry — An order which specifies a price at which the order is activated and becomes a limit order. A buy stop is entered above the current market and becomes a limit order when the commodity trades at or above the specified stop trigger price. A sell… …   Financial and business terms

  • stop order — stop′ or der n. bus an order to a broker to buy or sell a security if the market price goes above or below a designated level …   From formal English to slang

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