What Is the Difference between a ‘Market Order’ and a ‘Limit Order’ in Trading?

A market order is an instruction to buy or sell an asset immediately at the best available current price. It prioritizes speed of execution but risks high slippage, especially in low-liquidity markets.

A limit order is an instruction to buy or sell an asset at a specific price or better. It prioritizes price certainty but risks non-execution if the market price never reaches the limit price.

Market orders are immediate; limit orders are conditional.