Stop Order
A stop order is an instruction to execute a trade when the market price reaches a specified stop price; when triggered, it generally becomes a market order (stop market) or, in the stop-limit variant, becomes a limit order.
Example: An investor places a stop order on a stock currently trading near 52 with a stop price at 50. If the price trades down to 50, the stop triggers and a market order is sent for execution.
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