Limit Order fills at Incorrect Price

[gss1]

Palo Alto was trading at 523-521 and I placed a buy limit order to trigger at 538 the message box said it was likely to fill immediately.

 

I placed the order and it filled immediately at 523.

 

Why would a limit order for 538 fill immediately at 523?

[ArvinIG]

9 hours ago, gss1 said:

Palo Alto was trading at 523-521 and I placed a buy limit order to trigger at 538 the message box said it was likely to fill immediately.

 

I placed the order and it filled immediately at 523.

 

Why would a limit order for 538 fill immediately at 523?

Hi @gss1,

When you place a limit order your order will be filled at requested price or better.


Since the current price was advantageous to buy the order was filled at a lower price at 523 instead of 538. If you would have sell at a higher price than your limit level as you would have sell for a higher price.

 If you want to open an order to buy or sell an asset at a price that is less favorable than the current market price, you would use a stop order. More details here.

I hope that it helps.

All the best - Arvin

[gss1]

Thanks Arvin