Stop-Limit Order
A stop order that, once triggered, places a limit order instead of selling at market.
It adds a price floor to a stop-loss. You set a stop at $90 and a limit at $88. When price hits $90, the system posts a sell limit at $88 and won't fill below that. The benefit is control, with no nasty slippage.
The risk is the opposite one. In a sharp drop, price can blow straight through $88 and your order never fills, leaving you holding a falling position.
Related terms
A standing instruction to sell once price falls to a set level, capping how much you lose.
Limit OrderAn order to buy or sell only at a chosen price or better, which may not fill at all.
Take-Profit OrderA standing order to sell once price rises to a target, locking in gains automatically.
OCO OrderA pair of linked orders where filling one of them automatically cancels the other immediately.