Limited execution refers to a trading condition where orders are filled only at specific price levels or within a specific time frame. This often occurs on exchanges or trading platforms that have certain restrictions in place, such as high volatility or low liquidity.When limited execution is in effect, trades may not happen if the market price moves too quickly or doesn’t reach the specified criteria. This can protect traders from unfavorable prices, but it also means they could miss out on potential trades.For instance, if a trader sets a buy order at a certain price, it might only execute when the market conditions align with that price. If the market price skips over the order without ever hitting it, the trade won’t occur.Ultimately, while limited execution can help manage risk, it may lead to missed opportunities, especially in rapidly changing markets. Traders should be aware of these conditions when placing their orders to ensure they align with their trading strategies.