⭐🥝The correct answer is 🚨 *C) An order to limit losses by selling a stock when it falls below a certain price*.
A stop-loss order is an instruction to sell a stock when it falls to a certain price, known as the stop price. This helps limit potential losses if the stock price drops unexpectedly. By setting a stop-loss order, investors can automatically sell their shares when the price falls below a predetermined level, reducing potential losses.
*Example:*
- You buy 100 shares of XYZ stock at $50.
- You set a stop-loss order at $45.
- If the stock price falls to $45 or below, your stop-loss o
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