A stop-limit order is an order which is activated as a limit order after a given stop price has been reached.
Explanation of Terms:
Stop price: Price to activate a stop-limit order as a limit order.
Limit price: Price at which the stop-limit order is placed and executed. This could be potentially better depending on market fluctuation.
Quantity: Quantity of stop-limit order.
To show an example:
The last traded price of ETH is 730007.77 UGX, and the resistance is around 730009.00 UGX. If you think that the price will go higher after the price reaches the resistance, you can put a Stop-Limit order to automatically buy more ETH at the price of 730009.50 UGX. This way, you won’t have to continuously watch market movements to wait for the price to reach your target price.