Definition
An order to buy at the limit price or lower, or sell at the limit price or higher.
Hypothetical example
A buy limit of 100 can fill at 100 or less, but may remain unfilled if sellers continue asking 101.
Keep in mind
A price limit does not guarantee execution. Queue position and available quantity matter even when a trade touches the limit.
Official reference
www.investor.gov ↗Examples are illustrative assumptions, not investment recommendations.