4

The stock market closes at 4:00pm Eastern time. It was too late in the day. The order may be good for tomorrow. You should check that.


3

Yes, a price taker buys at ask price and sells at bid price and if the market maker is on the other side of the trades, he pockets the bid-ask spread. Note that trades means a trade at the bid and a trade at the ask. A market maker's posted quotes are not some fixed in stone price that you are forced to accept if you want to buy or sell a security. Any ...


3

But when we go to buy or sell, we get only one price or when we search price of a stock we get only one value. Which price is this and how's it calculated? It is usually the last trade price (i.e. the price that the latest transaction took place at). When markets are closed (after-hours, weekends, or holidays), the price you see is usually the closing price ...


3

With this type of order (market on close), you participate in a special "closing auction" rather than paying a bid-ask spread as with a normal market order. This can reduce trading costs (slippage). Suppose you have backtested a strategy with trades at reported daily closing prices. As long as your orders are small compared to market volume, you ...


3

A brokerage web site isn't a market maker. Brokers are intermediaries that buy and sell securities for an investor/trader. Market makers tend to be large banks or financial institutions that provide market liquidity. You lack a fundamental understanding how trading occurs on stock exchanges. Per your example, if Bob wants to buy at $100 and Sarah wants to ...


2

In the US, pre-market trading is from 4 am to 9:30 am EST and after hours trading is from 4 pm to 8 pm. on weekdays. Collectively this is called extended hours trading though some refer to both sessions as after hours trading. Some brokers do not offer after hours trading. For those that do, it often requires that you get approval to do so, usually just a ...


2

Instead of a "sell order" I think it helps to use the words "bid" and "ask." A bid is a person saying "I will buy for this price" and an ask is "I will sell for this price." There's also the last settlement price, which is whichever price at which the last transaction was made. When you make a market order, ...


2

What you pay for the security when you buy it is the cost and what you receive for selling it is the proceeds. These are the numbers that you 'record' and they are used for determining P&L, ROI, taxation, etc. The rest of it makes for a good cocktail party discussion of what ifs. There are a number of variations but let's consider a simple three party ...


2

Another assumption would be that every order will be executed on market price. The market price is the price at which orders are executed. It looks like I've simply stated the same thing the other way round, but the difference is important. If you buy a share for $10, then the market price must be $10. If, an hour later, somebody pays $11 for one share, ...


2

https://www.investopedia.com/terms/m/matchingorders.asp Generally, a buy order and a sell order are compatible if the maximum price of the buy order matches or exceeds the minimum price of the sell order. In your example, the maximum buy price is $100, and the minimum sell price is $120, and $100 is less than $120, so there is no matching. If Bob submits a ...


1

A buy stop limit sets a maximum higher price for buying a stock. A sell stop order is the opposite, specifying the lowest price that one is willing to sell at. I'm unaware of such orders working in the opposite direction as you would like. Some brokers offer Conditional Orders that allow multiple conditions to be included. For example, Fidelity or ...


1

I basically want to ask why do we see only one price of stock because the lowest ask and highest bid could be different when buying price=lowest ask and selling price =highest bid For simplicity. First, for liquid stocks the bid and ask are very close. It is so much easier to understand that Foobar Corp trades at 10 instead of listing it trading at 9.99/10....


1

What is the difference between a market maker and a market taker?: Market taker A market taker is a participant of the market, that is agreeing with the currently listed prices on the order book and wishes to fill his trade immediately. If the highest selling price and the lowest buying price is okay for you and you settle a trade, you become a market ...


1

Exchanges use price-time for order hierarchy on the order book. IOW, orders are prioritized based on the sequence that they are received. Hidden orders are prioritized after visible orders in the order book behind all visible orders and previous hidden orders at that price. An exception would be an iceberg order where the displayed portion is prioritized ...


1

Why are there no buy uptick and sell downtick orders? I think the textbook is looking for this answer: Buy uptick and sell downtick orders increase volatility, which is undesirable. If buy uptick orders were widely used, a single uptick could cause a huge cascade of buy orders, which could cause the price to rise more than it would without such orders. ...


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