I don't understand something

Why is it that when trying to enter a limit order, the software won't allow you to enter a buy at more than the current price, or a sell limit at less than the current price...I've never understood why this is. Can someone please explain? TIA

When you enter a limit order, you are asking for a price improvement. In other words, you are looking for a discount with regard to the current price. If going long, your limit would have to be lower than current price and if going short, it would have to be higher than current price. Also, you can't get inside of the spread so you must consider that as well.

If you are willing to give up a few pips before entry than a limit is not appropriate. That would be a stop market order where your order becomes a market order once a specific price is hit. You might use this kind of order in a breakout type scenario where you don't want to engage the market until price has degraded beyond some level.

Use a stop order instead of a limit order. For more info, see the diagram at the end of my post here.

u took time to write that down.

thnx for it.

Thank you all so much for your answers. That helped a bunch.