A limit is used to specify the highest purchase price for a security purchase and the lowest selling price for a security sale at which an order is to be executed. In the case of shares, the limit is specified in euros, and in the case of bonds, it is usually specified as a percentage.

A buy or sell order with a price limit is called a limit order, as distinguished from a market order without a limit. 

In the event of a corporate action or a suspension from trading, all open limit orders in the order book are deleted. This gives all players the opportunity to adjust their limits to a new market situation