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If I bought 100 shares of Tesla and then decided to sell 1 share for .50 on the market.. once it sold..would I see on the Tesla stock ticker that the price had dropped to .50 at some point during the day??

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  • I think your stock broker will detect such an order and prevent it from executing.
    – Flux
    Aug 23, 2020 at 18:40
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    Sorry but it doesn't work that way. If you place an order to sell below market price, it will sell at market price. Aug 23, 2020 at 18:46
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    You won't be able to sell at a price that is outside the National Best Bid and Offer (NBBO).
    – Flux
    Aug 23, 2020 at 18:48
  • Ohhh! Thanks Bob and Flux!
    – xtarman
    Aug 23, 2020 at 18:58

1 Answer 1

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Yes, but you'd need a lot more than 1 share to do a pump and dump

Practically systems like National Best Bid and Offer (NBBO) stop one-off things like this from happening.

Theoretically, selling a few shares at say 10% of their value would do absolutely nothing to the market because the buyer would just turn around and sell it again at a fair-market price, thus negating your prankster sell price.

If you really want to tank the stock price, you'd need to pull a Pump-and-Dump - it's illegal so maybe not the best prank.

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  • only illegal and exaggerated statements are illegal, there are plenty of legal ways to spark euphoria. For legal ways you can look at the current structure of "Investor Awareness" campaigns, everything you need to know is in the disclaimers at the bottom.
    – CQM
    Aug 23, 2020 at 19:40
  • @CQM So what happens if let's say there are 10 buyers and only 1 seller, and one of the buyer selects market price, and seller sets the sell price at $500 for a $1 stock. In this case who dictates the market price? isn't the sell price the best a selling price as there is only one selelr? Aug 24, 2020 at 20:42
  • @CQM - I referenced a pump and dump because that's the most straight forward way I know for an outsider to tank a stock. I pointed out it was illegal to show people have though of this before. Aug 24, 2020 at 23:43
  • @user1801879 yes. a market buy will purchase the share at $500. there is nothing controversial about that.
    – CQM
    Aug 25, 2020 at 14:51
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    @user1801879 Market orders are considered dangerous in much of the industry, yes. The whole idea that you might not care about price is absurd. You might set the limit price to be worse than the current market price, but you would never say you want to buy or sell something at any price.
    – kurtosis
    Aug 26, 2020 at 2:59

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