See: Limit Order.
The floor if a sell limit order is the cheapest price at which a seller of a security is willing to sell.
That is, if you own 500 shares of whatever.com currently trading at $32.33 a share and you then put a floor limit on that order. Think: $32.75 as the floor; below that number, the shares won't sell...they'll just sit there waiting and waiting like Godot until the market lets them hit $32.75.
Floors also exist on the other end, i.e. the highest price you'd pay for a share of BabysFirstChainsaw is $44.50. The stock is trading for $48 now, so your floor purchase price has gone a bit south.
Related or Semi-related Video
Finance: What are Limit Order, Sell Limi...4 Views
Finance a la shmoop what is a limit order? you want to sell a thousand shares
of Colonel electric it was demoted after they cut their dividend the shares have [Scissors cuts dividend in half]
been trading wildly between $15 and $25 a share you don't want to feel like a
moron for having sold them at fifteen bucks when six weeks later they kissed
25 with tongue so what do you do well you put in a limit order that is you put
a limit of a minimum price of 25 bucks a share for Colonel Electric such that [Pile of stocks appear]
those shares will simply sit in your account unsold maybe forever until
somebody out in the wild blue yonder of Stockland is willing to pay twenty five [Woman standing at a colonel electric stand]
dollars or more for the shares where you have a minimum price limit of 25 bucks a
share in your order so here's to hoping they sell and don't get further demoted [Man carries stock into car]
Sargent Electric is just a place you don't want to go
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