investing
Limit on open orders
August 01, 2018

A limit on open order (LOO) can only be placed on DAY orders and is based on the market opening price.

When you place a buy order with a limit on open order (LOO), you’re setting the maximum price you’re willing to pay. If the market price at open on the following trading day is at or below the maximum price (limit) you set, your order is processed. If the market price is above the limit you set, your order is cancelled.

When you place a sell order with a limit on open order (LOO), you’re setting the minimum price you’re willing to accept when you sell. If the market price at open on the following trading day is at or above the minimum price (limit) you set, your order is processed. If the market price is below the limit you set, your order is cancelled.

Let's use an example

You place a buy LOO order (bid) for 200 shares of ABC Company at a limit price of $125.00 per share. Your order will be processed (executed) if the shares are trading at or below $125.00 per share at market open on the following trading day. If the price at market open is $128.00 per share, your order would be cancelled.

You may want to check this out

Need more help?

The information contained in this website is for information purposes only and should not be used or construed as financial or investment advice by any individual. Information obtained from third parties is believed to be reliable, but no representations or warranty, expressed or implied is made by Questrade, Inc., its affiliates or any other person to its accuracy.

Questrade Wealth Management Inc. (QWM) and Questrade, Inc. are wholly owned subsidiaries of Questrade Financial Group Inc. Questrade, Inc. is a registered investment dealer, a member of the Investment Industry Regulatory Organization of Canada (IIROC) and a member of the Canadian Investor Protection Fund (CIPF), the benefits of which are limited to the activities undertaken by Questrade, Inc. QWM is not a member of IIROC or the CIPF.