Limit

This Issue in United States

Concept of Limit (Up or Down) in Futures Trading

In this context of financial law, the following is a definition of Limit (Up or Down): The maximum price advance or decline from the previous day’s settlement price permitted during one trading session, as fixed by the rules of an exchange. In some futures contracts, the limit may be expanded or removed during a trading session a specified period of time after the contract is locked limit. See Daily Price Limit.