This is an explainer on stop-limit orders, a tool that lets traders set rules in advance instead of watching the market constantly.

• A stop-limit order sits inactive until the price hits a chosen trigger point, called the stop price.
• Once that trigger is hit, the order automatically places a limit order at a second price you set in advance.
• This gives traders control over the worst price they're willing to accept, unlike a plain stop order that can fill at any price once triggered.
• It's aimed at people who want protection or planned entries without staring at charts all day.

Outlook: Traders using this method still need to pick both prices carefully, since a trigger with no matching market price means the order may never fill.