Slippages happen when an execution takes place significantly away from the current market price. This usually results due to shallow market depth and low liquidity. Another factor contributing to a slip trade is when a trade coincides with a large market order.

Placing a market order inherently carries the risk of potential losses due to a slip trade, 

Limit order provides the advantage of price execution at a specified level, thus avoiding a slip trade but without a guarantee of order fill. However, combining the benefits of both order types is possible, allowing for the price protection offered by a limit order (eliminating the risk of a slip trade) while still enjoying the order fill guarantee typically associated with a market order.

How can I use a Stoploss limit order as a Stoploss market order?

A Stoploss order involves specifying a trigger price and limit price for limit SL order and only trigger price for market SL order. These parameters are set and stored in  the exchange system and not in the broker systems.

The SL - L (stop loss limit) order can be used as an SL-M (stop loss market) order. To do this, a limit price needs to be provided, which is higher or lower than the trigger price, depending on whether the intention is to buy or sell.

Example Scenario:

1. Stock Reliance
2. Position Short
3. Short Price₹2244
4. CMP₹2242
5. SL Trigger₹2247
6. SL Limit₹2259

In this scenario, the SL limit buy order at ₹2259 will be placed as soon as the market price reaches the SL trigger price of ₹2247. The limit price essentially functions as a market order and gets filled within the range of ₹2247 and ₹2259, offering protection against a slip trade.

How does a SL sell limit order function below the current market price?

When a SL sell limit order is placed with a price below the current market price, the SL limit order will function as an SL market order.

Example Scenario:

Assume a long position is held on Nifty 18500 CE with a current price of ₹186.

A SL limit sell order is placed at₹171 with a trigger price at ₹181.

Given the current market price of ₹186 and the placement of the SL limit sell order at a lower price, the order will function as a market order and execute immediately. All available quantities will be sold for up to ₹171. The limit order ensures protection against adverse price fluctuations by restricting the sell price to ₹171.