Brokerage Order Types
Below a market order the broker is commanded to sell or buy a particular stock immediately no matter what the prevailing price is. This is the most immediate and least expensive way in which you can complete your order. Agreement how different types of orders work may make a difference in whether your trade gets accomplished and at what price. This Brokerage Order Types is used to open or close a position by buying if the market rises or selling if the market falls. The stop price for buy orders is placed above the current market price. The stop price for sell orders is placed under the current market price. A stop loss order turns into a market order when the stop is triggered, so the final performance price or time of a stop order is not guaranteed. The same risks of market orders apply to stop orders.