Buy Stop Vs Sell Stop May 2026

: Entering a trade once a stock breaks above a resistance level, betting that the upward momentum will continue.

A is an instruction to buy a security once it reaches a price above the current market level, while a sell stop order is an instruction to sell once the price drops below the current market level. buy stop vs sell stop

: Becomes a market order when the price rises to or through the specified stop price. Placement : Must be set above the current market price. Common Uses : : Entering a trade once a stock breaks