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above the market

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Financial Dictionary

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.

Investopedia Commentary

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.

Related Links

Stock Basics Tutorial
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Trailing-Stop Techniques

See also: Below the Market, Limit Order, Market Order, Resistence, Stop Order, Stop-limit Order, Stop-loss Order

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