limit bid

English

Noun

limit bid (plural limit bids)

1. An offer to buy in an auction for any value up to a specified maximum.
   • 1902, The Collector - Issues 160-171, page 29:

     I am still inclined to think the London auctioneers can be trusted, but I have little faith in the Germans. If you put a $20 limit bid by accident on a $1 autograph at a German auction, you are pretty sure to get it at $20. Like some other auctioneers, if they know your limit they will supply any amount of competition, honest or otherwise.

   • 2007, B. Espen Eckbo, Handbook of Corporate Finance:

     Consistent with this conjecture, Cornelli and Goldreich show that investors submitting price-limited bids receive larger allocations when the book contains fewer limit bids.

   • 2013, George Kleinman, Trading Commodities and Financial Futures:

     If a market again trades under the limit bid price or above the limit offered, go with the flow. These are trades that possess reasonable risk, because they indicate the previous support or resistance is now absent.

2. (bridge) A bid that describes the bidders hand fairly precisely (indicating a small range of high card points and some indication of shape.)
   • 2009, Eric v.d. Luft, How I Became a Life Master Playing the Weak No Trump, page 18:

     OK, you are the captain (partner opened with a limit bid).

   • 2011, David Bird, Bridge Made Easy: Flash, page 5:

     When the responder made a limit bid, the opener may already be in a position to name the final contract.

   • 2012, Harry Lampert, The Fun Way to Serious Bridge, page 62:

     If you raise a partner's opening suit bid from one to two, it is also a limit bid, showing six to nine points.