Definition: A limit order is an order placed away from the current market price.
For example, if you are trading EUR/USD and the current price is 1.31 and you want to go short if the price reaches 1.32, you can place an order for the price 1.32. That order is called a limit order. It is placed when the price reaches your "limit" of 1.32.
Take profit orders and stop loss orders are also a form of limit order because they are orders that are placed away from the price.
For example, if you are trading EUR/USD and the current price is 1.31 and you want to go short if the price reaches 1.32, you can place an order for the price 1.32. That order is called a limit order. It is placed when the price reaches your "limit" of 1.32.
Take profit orders and stop loss orders are also a form of limit order because they are orders that are placed away from the price.
