A order is used to buy an asset once its price rises to a specific "stop price". Traders typically use this to catch an upward breakout or to cover a short position before losses grow. How a Stop Buy Works
Current interfaces (like Coinbase Advanced Trade ) follow the same logic originally established by GDAX: : Choose the Stop tab in the order panel. Define Side : Select Buy . gdax stop buy
: Once the market hits that price, your order is automatically "triggered". Market vs. Limit : A order is used to buy an asset
: Once triggered, it becomes a limit order, meaning it will only fill at your specified price or better. Key Steps to Place the Order it becomes a limit order