|
PureBytes Links
Trading Reference Links
|
I don't understand your question. If you place a stop-limit order, you get a
limit order when your stop is hit. Otherwise a stop order generates a market
order. Market orders exist for NSM stocks, but are more dangerous for more
illiquid stocks, which is probably (I can't say for certain) why brokers won't
take them.
DanG
Ira wrote:
> Where would a broker place your stop order? Nasdaq stocks have multiple
> market makers, all at different locations and with different phone numbers.
> ( unless this has changed) There a re situations where none of these market
> makers would show the same market and until recently your bid or offer Which
> was between their markets was not posted or recognized and often traded
> around until a market maker decided to take it. If the broker takes your
> stop, then he is taking the responsibility to see that it is executed
> properly. Many brokerage houses do not want that responsibility. I can't
> blame them. On the NYSE your stop would be placed in the book and executed
> during the normal course of business or a floor broker, who stood in that
> pit, would execute it when the price was hit. Ira
>
> TheGonch at MediaKat wrote:
>
> > I believe there are three types of OTC stocks, but that has nothing to
> > do with stop orders.
> >
> > 'OTC' Stocks are either:
> >
> > 1) part of the Nasdaq Stock Market (eg, MSFT, INTC);
> > 2) part of the OTC Bulletin Board (SJKI);
> > 3) on the Pink Sheets
> >
> > I do not believe there is any official rule about stop orders on Nasdaq
> > stocks; it is up to the broker's discretion. They can decide to take the
> > order for MSFT, but refuse to take it on EFII, even though both are NSM
> > stocks.
> >
> > For lots of information (although a little confusing in presentation)
> > try
> > http://www.nasdaq-amex.com/help/helpfaq.stm
> >
> > Regards
> > DanG
|