Now the time is for the listing of penny stock companies. On the stock exchange but also with your online broker you work with so-called order additions. At least one addition is mandatory, so that the system knows on which conditions you want to buy or sell one. You only understand train station? No problem, we introduce you to the two most important types of orders used to buy & sell stocks:
Listing of penny stock companies additional orders
Limit order: If you only want to remember one single order type, let it be the limit order. This tells the system that you want to buy or sell a stock at a certain limit. If the price falls below or exceeds the price (depending on whether you buy or sell the stock), the order will not be executed.
Example: You would buy for a stock, which currently costs € 51.00, for a maximum of € 53.00. So you would place a limit order for € 53.00. Your broker will now execute the order at the next best price, but never for over € 53.00. This makes the additional order particularly safe. The same goes for selling stocks: a limit order will not sell your stock below a certain threshold.
Listing of penny stock companies-Information
Market Order: The market order is used whenever it has to be particularly fast: your stock order is executed at the next best price.
Basically speaking, stocks with high trading volume do not talk much against a market order. Your shares are bought or sold as quickly and around the current market price. It can be dangerous, especially in highly volatile stocks, as the stock order is executed at a possibly unfavorable rate.
Of course, stock buying can also use a number of other and much more complex order additions. To enumerate these here, however, would go beyond the scope and would also be of little help to those who are new to the subject.
With the order types mentioned, you are already good at the beginning and have everything you need! So, if you’ve made it and bought stocks, you can now count yourself among investors! Congratulation!
If you have any questions or you are not sure, please do not hesitate to leave us a message in the comments. Otherwise, we would like to give you some basic tips on the topic of buying shares with you on the way. For more article about listing of penny stock companies, stay tuned us.