Stop vs stop-limit simulator
A stop order and a stop-limit order both wait for a trigger price. The difference shows up when the price moves fast. Pick a scenario price and see what each order would do.
New to this? Read What is a stop-limit order?.
Worked example
Example numbers
You own 100 shares bought at $50. You compare a stop at $45 with a stop-limit: stop $45, limit $44.50.
| Scenario | Stop (market) | Stop-limit |
|---|---|---|
| Stock dips to $46 | Not triggered | Not triggered |
| Stock trades down to $44.90 | Sells near $44.90 → about −$510 | Can fill at $44.90 (above $44.50) → about −$510 |
| Stock gaps open at $42 | Sells near $42 → about −$800 | Does not fill. Still holding 100 shares, down $800 on paper |
The stop guarantees an exit but not a price. The stop-limit guarantees a price (your limit or better) but not an exit.
How the simulator decides
- Sell stop triggers when the stock trades at or below the stop. Buy stop triggers at or above it.
- Once triggered, a stop becomes a market order and is modeled as filling at the scenario price.
- A stop-limit becomes a limit order. A sell fills only at the limit or higher; a buy fills only at the limit or lower.
- Real fills depend on liquidity and can differ from any single price. This is a teaching model, not a prediction.
FAQ
What is the difference between a stop and a stop-limit order?
Both wait for a trigger (stop) price. When triggered, a stop order becomes a market order and fills at the next available price. A stop-limit becomes a limit order and only fills at your limit price or better, so it may not fill at all.
Why didn’t my stop-limit order fill?
Usually because the price moved past your limit before the order could fill, for example on a gap at the open. A sell stop-limit with a $44.50 limit will not sell at $42.
Can a stop order fill below my stop price?
Yes. A stop becomes a market order once triggered, and in a fast market or a gap it can fill well below the stop price.
How far apart should the stop and limit be?
There is no single right answer and we do not recommend settings. A wider gap makes a fill more likely but allows a worse price; a narrower gap protects the price but makes a miss more likely. This simulator lets you see that trade-off with your own numbers.
Educational only. This page explains order mechanics with example numbers. It is not investment advice, not a recommendation to buy or sell anything, and not a broker. Check your own broker’s rules, fees and assignment terms before you trade.