When you trade with Dolarapp, you can choose the type of order which determines when and at what price your trade is executed. Using order types wisely helps you manage risk, avoid bad fills, and stay in control in volatile markets.
Market Orders
A market order is the simplest and fastest type of order. It instructs the system to buy or sell immediately at the best available price in the market. You do not specify a price — execution speed is the priority.
Market orders guarantee execution (if liquidity exists), but do not guarantee the specific price. If the market is open, they execute instantly; if the market is closed, they will execute as soon as it opens.
Limit Orders
A limit order lets you specify the maximum price you’re willing to pay (for a buy) or the minimum price you’re willing to accept (for a sell). The exchange will fill your order only if the market reaches your limit or better.
Buy limit: executes at the limit price or lower
Sell limit: executes at the limit price or higher
If the market never reaches your limit, the order remains unfulfilled.
Example: You want to buy the stock but not pay more than $95 per share.
Stock is $100 now. You place a buy limit at $95 for 10 shares.
If price falls to $95 or below, order may execute (at $95 or better).
If price never drops to $95 within your order’s validity, it remains unfilled.
Stop Orders
A stop order (often used as a stop-loss) triggers a market order once the price hits a certain stop price. From that moment, the order becomes a market order and is executed at the best available price, which may differ from the stop price.
Sell stop: use this if you already own the asset and want to sell it if the price drops to a certain level — to limit losses or secure gains.
Buy stop: use this if you want to buy an asset only once the price rises to a certain level — for example, to enter when an upward trend is confirmed.
Example: You want to secure $50 gains in your investment by protecting against a price drop.
You own a stock bought at $120. You place a sell stop at $110 for 50 shares.
If price falls to $110, the order triggers into a market order and sells at the best available price (e.g. $109.80).
If price never drops to $110, the order never triggers and you continue holding.
Stop Limit Orders
A stop-limit order combines features of stop and limit orders. You set both:
A stop price — the trigger
A limit price — the worst acceptable execution price
Once the market hits the stop price, your order becomes a limit order, not a market order. It will only execute at your limit price (or better) if matching orders exist.
Example: You want to secure $50 gains while making sure you don’t sell for less than $108.
You set stop = $110 and limit = $108.
If price hits $110, it triggers a limit sell at $108 or better.
If market falls past $108 quickly without trades at $108–$110, your order may not fill (i.e. remain unexecuted).
How long do pending orders stay active?
Market orders expire at the end of the same trading day if not executed.
Limit, Stop, and Stop-Limit orders remain active for up to 90 days and expire automatically at market close on day 90 if they haven’t been filled.