DEFINITION of 'Above The Market'

An order to buy or sell at a price set higher than the current market price of the security. Examples of above the market orders include: a limit order to sell, a stop order to buy, or a stop-limit order to buy.

BREAKING DOWN 'Above The Market'

This is a strategy that is often used by momentum traders. For example, a stop order would be placed above the resistance level to buy. Should the security's price break through the resistance level, the investor may be able to participate in the upward trend.

  1. Stop Order

    A stop order is an order to buy or sell a security when its price ...
  2. Bracketed Buy Order

    Bracketed buy order refers to a buy order that has a sell limit ...
  3. Bracketed Sell Order

    A sell order on a short sale that is accompanied (or "bracketed") ...
  4. Immediate Or Cancel Order - IOC

    An order to buy or sell a security that if not immediately filled, ...
  5. Scale Order

    A type of order that comprises several limit orders at incrementally ...
  6. Order

    An investor's instructions to a broker or brokerage firm to purchase ...
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