What does Market Order vs Limit Order mean?

A market order fills immediately at the best available price; a limit order only fills at your chosen price or better.

A market order fills immediately at the best available price — fast but unpredictable. A limit order only fills at your chosen price or better — slower but you control the price. Beginners often use limits to avoid surprises.

Market Order vs Limit Order example

A stock last traded at $25. A market order to buy fills immediately at whatever the best ask is — maybe $25.03. A limit order at $24.90 only fills if a seller comes down to $24.90 or lower, and might not fill at all.

Common beginner mistake

Using market orders right at the open or on thinly traded stocks, where the price can jump between clicking "buy" and the order filling.