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To be assured of a fill, price must trade thru your stop price.
There may be 10 orders to sell at 45, but only 6 offers to buy at 45.
Al
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> From: neo <neo1@xxxxxxxxx>
> To: metastock@xxxxxxxxxxxxx
> Subject: RE: Stop Orders: Market vs. Limit
> Date: Thursday, September 06, 2001 11:01 AM
>
> I called my broker to find out what price triggers the stop order.
According
> to them it is the Bid that triggers a stop order.
>
> neo
>
>
> ~ -----Original Message-----
> ~ From: owner-metastock@xxxxxxxxxxxxx
> ~ [mailto:owner-metastock@xxxxxxxxxxxxx]On Behalf Of neo
> ~ Sent: Thursday, September 06, 2001 10:09 AM
> ~ To: metastock@xxxxxxxxxxxxx
> ~ Subject: RE: Stop Orders: Market vs. Limit
> ~
> ~
> ~ I still do not understand stop orders. What exactly is meant by
> ~ "once your
> ~ stop is elected"?
> ~ What exactly triggers the stop price? The bid, the ask, most
> ~ recent price,
> ~ any order past the price?
> ~
> ~ Thanks, neo
> ~
> ~ ~ -----Original Message-----
> ~ ~ From: owner-metastock@xxxxxxxxxxxxx
> ~ ~ [mailto:owner-metastock@xxxxxxxxxxxxx]On Behalf Of Al Taglavore
> ~ ~ Sent: Tuesday, September 04, 2001 2:11 PM
> ~ ~ To: metastock@xxxxxxxxxxxxx
> ~ ~ Subject: Re: Stop Orders: Market vs. Limit
> ~ ~
> ~ ~
> ~ ~ Quoted from a Lind-Waldock order guide;
> ~ ~
> ~ ~ "2.Limit order-Use this type of order when you want to be filled
> ~ ~ only at a
> ~ ~ specified price or better. A limit buy order is placed at or
> ~ below the
> ~ ~ current market price, while a limit sell order is placed at
> ~ or above the
> ~ ~ current price.With certain caveats, you are guaranteed a fill if
> ~ ~ the market
> ~ ~ trades THOUGH your price. If the market merely trades AT
> ~ your price, you
> ~ ~ are not guaranteed a fill.
> ~ ~
> ~ ~ "8.Stop Limit order-Use this type of ordr when you don't want to
> ~ ~ be filled
> ~ ~ any worse than your stop price. Here, your stop and limit
> ~ prices are the
> ~ ~ same. Again, your order will become a straight limit order
> ~ if, once your
> ~ ~ stop is elected, the broker is unable to execute your order
> ~ at your price
> ~ ~ or better."
> ~ ~
> ~ ~ Hope this helps.
> ~ ~
> ~ ~ AlT
> ~ ~ ----------
> ~ ~ > From: neo <neo1@xxxxxxxxx>
> ~ ~ > To: metastock@xxxxxxxxxxxxx
> ~ ~ > Subject: RE: Stop Orders: Market vs. Limit
> ~ ~ > Date: Tuesday, September 04, 2001 11:27 AM
> ~ ~ >
> ~ ~ > Claud
> ~ ~ >
> ~ ~ > What do you mean by the "price"? As I understand it, a
> ~ limit order must
> ~ ~ be
> ~ ~ > executed within the bid ask spread. If one had a stop
> ~ market order at,
> ~ ~ say,
> ~ ~ > 6% below the current price, could someone place a limit order
> ~ ~ at 7% below
> ~ ~ > the current price and capture your stop order? What
> ~ determines when the
> ~ ~ stop
> ~ ~ > "price" is hit?
> ~ ~ >
> ~ ~ > Thanks, neo
> ~ ~ >
> ~ ~ > ~ -----Original Message-----
> ~ ~ > ~ From: owner-metastock@xxxxxxxxxxxxx
> ~ ~ > ~ [mailto:owner-metastock@xxxxxxxxxxxxx]On Behalf Of Claud
Baruch
> ~ ~ > ~ Sent: Saturday, September 01, 2001 2:06 PM
> ~ ~ > ~ To: metastock@xxxxxxxxxxxxx
> ~ ~ > ~ Subject: Re: Stop Orders: Market vs. Limit
> ~ ~ > ~
> ~ ~ > ~
> ~ ~ > ~ There are 4 orders:
> ~ ~ > ~
> ~ ~ > ~ Market Order.....you sell at the bid.
> ~ ~ > ~ Limit Order....You will only sell at your specified limit. (No
> ~ ~ guarantee
> ~ ~ > ~ of execution.
> ~ ~ > ~ Stop Order....Once the price you designate as "Stop", it
becomes
> ~ ~ > ~ a market order.
> ~ ~ > ~ Stop Limit...Once the price reaches your designated price,
> ~ ~ it becomes
> ~ ~ > ~ a limit Order...you won't accept less. (No guarantee of
> ~ execution.)
> ~ ~ > ~
> ~ ~ > ~ Claud
> ~ ~ > ~
> ~ ~ > ~ neo wrote:
> ~ ~ > ~
> ~ ~ > ~ > Would someone please further my understanding of
> ~ market and limit
> ~ ~ stop
> ~ ~ > ~ > orders?
> ~ ~ > ~ >
> ~ ~ > ~ > As I understand it, all limit orders must be filled within
the
> ~ ~ bid/ask
> ~ ~ > ~ > spread. With a stop market order, it seems that someone
could
> ~ ~ > ~ just place a
> ~ ~ > ~ > limit order and buy/sell one's stock well outside of the
> ~ ~ > ~ trading range. Is
> ~ ~ > ~ > this true? If so, they would be useless.
> ~ ~ > ~ >
> ~ ~ > ~ > The problem with a limit stop order is that the price could
be
> ~ ~ > ~ passed in a
> ~ ~ > ~ > gap and not get filled.
> ~ ~ > ~ >
> ~ ~ > ~ > Thanks, neo
> ~ ~ > ~
> ~ ~
> ~
> ~
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