How Markets Stay Safe
Lesson 4 of 7 · How Markets Work
Market Foundations ·
Beginner⏱ 10 min readMarket Stability
What you will learn
What stop-high and stop-low limits are
The advantages of daily limits for ordinary investors
The real disadvantages that experienced traders dislike

Some countries impose a daily ceiling and floor on individual stock prices. Cross either line and the stock stops trading for the day. It sounds simple - but the trade-offs are sharper than they look.