Market if touched
What is a Market-If-Touched?
In finance, a Market-If-Touched refers to a conditional order that will only be executed if a security reaches (or touches) a specified price. Sometimes abbreviated to MIT, a Market-If-Touched is also sometimes referred to as a 'board order'.
Where have you heard about a Market If Touched?
Market-if-touched orders are fairly common. A common example of an MIT order is when an investor wants to delay buying or selling securities in order to achieve a more advantageous price on the security.
What you need to know about Markets-If-Touched.
Market-if-touched orders are fairly similar to stop orders; however, where MIT orders look for asset prices to fall, buy/stop orders activate when a security's market value increases past a specified level. MIT orders fall into two categories: MIT buy orders (where broker executes the trade once the security's market price has fallen to a desired price) and MIT sell orders (where brokers execute the trade once the market price has risen to a desired price). MIT orders allow trades to take place without investors having to continually monitor a security's market price.
Find out more about Market-If-Touched.
Further understand the difference between MIT orders and stop orders by reading our definition of stop order.