A Limit Order is an order type that specifies the maximum or minimum price at which a trader is willing to buy or sell a security. This type of order ensures that the trader gets the price they are comfortable with but does not guarantee the execution of the trade. If the market price does not reach the limit price, the order will remain open until it is either filled or canceled. Limit orders are useful for traders who seek control over the price at which they enter or exit a position, but they may experience missed opportunities if the market moves quickly.