A stop limit order on Robinhood allows you to choose when an order becomes active and the minimum price you are willing to accept when selling a stock or ETF. This type of order can help you manage your selling price, but it does not guarantee that your order will execute.
In this guide, you will learn how to set a stop limit order on Robinhood, understand the difference between the stop price and the limit price, choose how long your order stays active, and check or cancel your order when needed.
What Is a Stop Limit Order on Robinhood?
A stop limit order combines two prices: the stop price and the limit price. The stop price determines when your order activates, while the limit price sets the minimum amount you are willing to accept when selling a stock.
For example, imagine you own an ETF trading at $32.75 per share. You want to sell it if its price starts falling, but you do not want to accept less than $30.50 per share.
You could set up a stop limit order with these prices:
- Stop price: $31.00
- Limit price: $30.50
If the ETF reaches $31.00 or lower during regular market hours, your order activates and becomes a limit order to sell at $30.50 or better.
However, if the price drops below $30.50 before your order executes, the sale might not happen. Your order can remain active while waiting for the price to recover, depending on its time-in-force setting.
You can also place a buy stop limit order. The process is similar, but the prices work differently because you are setting the maximum price you are willing to pay rather than the minimum price you are willing to accept.
How to Set a Stop Limit Order on Robinhood
Follow these steps to create a stop limit order in the Robinhood mobile app. The example below uses a sell order for an ETF you already own.
Step 1: Open the Stock or ETF You Want to Trade
Open the Robinhood app and find the stock or ETF for which you want to place an order.
From your main screen, scroll to your stocks and ETFs or use the search function to locate the investment. Tap the stock or ETF to open its details page.
For a sell stop limit order, you must own the shares you want to sell. If you want to place a buy stop limit order instead, you can select an investment you want to purchase.
Step 2: Tap Trade and Select Sell
On the investment’s details page, tap the Trade button, usually located near the bottom-right corner of the screen.
A menu will appear with several options, including Buy and Sell. Select Sell if you want to create a sell stop limit order.
Robinhood will initially display the standard market order screen. This screen may include quick options for selling a specific dollar amount or selling all your available shares.
Do not select one of these quick options if you want a stop limit order. A market order generally attempts to execute at the best available market price rather than waiting for a specific price condition.
Step 3: Select Stop Limit Order
Look at the top-right area of the order screen, where the current order type is displayed. Tap it to open the order-type menu.
You will see different order types, including market orders, limit orders, and conditional orders.
Scroll to the bottom of the conditional orders section and select Stop Limit Order.
Robinhood will take you to the screen where you can enter your stop price.
Step 4: Set Your Stop Price
The stop price determines when your stop limit order becomes active.
For example, suppose your ETF is trading at approximately $32.75 per share. You decide that you want your sell order to activate if the price falls to $31.00.
Enter $31.00 in the stop price field and tap Continue.
As long as the relevant trigger condition has not been met, your order remains inactive. Once the stop price is reached or crossed during the applicable trading session, Robinhood activates the order as a limit order.
Remember that reaching the stop price does not mean your shares have been sold. It only activates the next stage of the order.
Step 5: Set Your Limit Price
Next, Robinhood will ask you to enter your limit price.
For a sell stop limit order, the limit price is the lowest price you are willing to accept per share.
Using the previous example, you could enter a limit price of $30.50.
This creates the following order:
- Stop price: $31.00
- Limit price: $30.50
For a sell stop limit order, the limit price is generally set at or below the stop price. Setting it slightly lower creates a price range in which the order can execute if the market is moving downward.
After entering your limit price, tap Continue.
The difference between the two prices matters. A stop price of $31.00 activates the order, but the $30.50 limit price prevents the order from executing at a lower price. If the market falls too quickly, your order may not fill.
Step 6: Choose How Long Your Order Stays Active
Robinhood will ask you to select the time in force, which determines how long the order remains active.
Depending on the available options, you may see choices such as:
Good till market close: The order remains active for the applicable trading day and expires at the end of that session if it has not executed.
Good till canceled: The order remains active until it executes or you cancel it, subject to Robinhood’s expiration rules. In the example, the app displays an expiration date approximately 90 days after the order is placed.
Choose the option that suits your needs and tap Continue.
Check the expiration date displayed in the app rather than assuming every order will remain active for the same period. Trading rules and available order settings can vary.
Step 7: Enter the Number of Shares You Want to Sell
Robinhood will now display the sell order screen, where you can specify how many shares you want to sell.
Enter the number of shares in the quantity field. You can use the available holdings information to check how many shares you own.
For example, if you own more than one share but want to sell only one, enter 1.
Review the order details displayed on the screen. They should include your stop price, limit price, time in force, and estimated proceeds.
For a sell order with a limit price of $30.50 and one share, the estimated credit may show $30.50. This is an estimate based on the limit price, not a guarantee that the sale will execute or that you will receive exactly that amount.
Step 8: Review and Submit Your Stop Limit Order
Before submitting the order, tap Review to open the final confirmation screen.
Check the following details carefully:
- The stock or ETF you selected.
- The number of shares you want to sell.
- Your stop price.
- Your limit price.
- The order’s expiration or time-in-force setting.
- The account from which the shares will be sold.
For the example in this guide, the order should show one share, a stop price of $31.00, a limit price of $30.50, and the selected expiration setting.
If everything is correct, swipe up or follow the confirmation prompt to submit the order.
Robinhood should display a confirmation that your stop limit order has been placed.
Do not assume the shares have been sold just because the order was accepted. A newly placed stop limit order typically remains pending until the stop condition is met and the resulting limit order executes.
How a Stop Limit Order Works in Different Market Conditions
Understanding how a stop limit order on Robinhood behaves when prices change is just as important as knowing how to set one up.
Using a stop price of $31.00 and a limit price of $30.50, here are three possible outcomes.
Scenario 1: The Price Stays Above $31.00
Suppose the ETF continues trading at $32.75 and never reaches your stop price.
Your stop limit order remains inactive. No shares are sold, and you continue to own your investment.
The order stays in place until its expiration or until you cancel it.
Scenario 2: The Price Falls to $31.00 and Trades Within Your Limit
Now suppose the ETF’s price drops to $31.00 and continues trading around $30.90.
Your stop limit order activates and becomes a limit order to sell at $30.50 or better.
Because the market price is still above your minimum acceptable price, the order may execute at an available price between $31.00 and $30.50, depending on market conditions and available buyers.
Once the order executes, the shares covered by the order are sold.
Scenario 3: The Price Drops Quickly Below $30.50
Imagine unexpected news causes the ETF to fall sharply from above $31.00 to $30.00.
Your stop price has been reached, so the order activates. However, the current market price is now below your $30.50 limit price.
The order cannot execute at $30.00 because you specified that you would not accept less than $30.50 per share.
As a result, the order may remain unfilled while waiting for the price to recover to $30.50 or higher. If the price never recovers before the order expires or is canceled, the sale may never happen.
This is the main trade-off with a stop limit order: you control the minimum acceptable selling price, but you sacrifice the certainty of selling when the stop price is reached.
Stop Limit Order vs. Stop Order on Robinhood
A stop order and a stop limit order may sound similar, but they handle execution differently.
With a stop order, reaching the stop price triggers an order that generally becomes a market order. It attempts to execute at the best available price, which can be substantially different from the stop price in a fast-moving market.
With a stop limit order, reaching the stop price triggers a limit order. The limit price restricts the prices at which the order can execute, but the order may remain unfilled.
For example, if a stock drops rapidly from $31.00 to $30.00:
- A stop order may execute around $30.00 or another available market price, potentially lower.
- A stop limit order with a $30.50 limit price will not execute below $30.50, but it may not sell the shares at all.
Neither order type guarantees protection against every loss. Your choice depends on whether you prioritize executing the sale or controlling the minimum acceptable price.
How to Check Your Stop Limit Order on Robinhood
After placing your order, you can check its status to see whether it has activated or executed.
Open the order confirmation or navigate to the relevant order details in the app. If you have just submitted the order, you may also see a View Order option.
The order details should display information such as:
- Order type: Stop limit sell.
- Order status: For example, placed or pending.
- Number of shares.
- Stop price.
- Limit price.
- Time-in-force setting and expiration date.
You may also see the number of shares sold compared with the number you requested to sell.
For example, a status showing zero out of one means that none of the one share has been sold yet. This is normal if the stop price has not been reached or the activated limit order has not found an acceptable execution price.
Checking the order details helps you confirm that your prices and expiration settings are correct.
How to Cancel a Stop Limit Order on Robinhood
If you decide that you no longer want the order to remain active, you can cancel it from the order details screen.
- Open the stop limit order you want to cancel.
- Review the order details to confirm that you selected the correct order.
- Tap Cancel Order.
- Follow any confirmation prompts shown in the app.
Once Robinhood confirms the cancellation, the order will no longer be active. If the order has already executed, however, canceling it cannot reverse the completed sale.
If you want to change your stop price or limit price, you may need to cancel the existing stop limit order and submit a new one. The example shown in this guide does not provide a Replace option for editing the order directly.
Before submitting a replacement order, verify the new prices, share quantity, and expiration settings.
Important Things to Know Before Using a Stop Limit Order
A stop limit order on Robinhood can be useful when you want more control over the price at which you sell an investment. However, there are several things to consider before using one.
First, a stop price is a trigger, not a guaranteed selling price. Your order only becomes active when the relevant stop condition is met.
Second, your limit price can prevent an unwanted sale at a lower price, but it also increases the chance that your order will not execute during a sharp decline.
Third, stop limit orders may be subject to trading-session restrictions and other conditions. Review Robinhood’s current order details and rules to understand when your order can trigger.
Finally, consider your investment strategy before placing an automatic sell order. Long-term investments can experience temporary declines and later recover. An order may sell your shares during a downturn, leaving you without the investment if its price subsequently rises.
Selling shares can also have tax consequences depending on your circumstances and the applicable tax rules.
A stop limit order is a tool for managing orders, not a guarantee against losses. Make sure you understand both the stop price and the limit price before submitting one.
Final Thoughts
Setting a stop limit order on Robinhood involves selecting a stock or ETF, choosing the stop price that activates the order, setting the limit price, selecting how long the order remains active, and reviewing the details before submitting it.
The most important distinction is simple: the stop price determines when your order activates, while the limit price determines the minimum price you will accept when selling.
A stop limit order gives you more control over execution price, but it does not guarantee a sale. Understanding this trade-off can help you decide whether this order type fits your investment goals and risk tolerance.
