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market order, limit order and stop order

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Discuss the advantages and disadvantages of market order, limit order, and stop order.

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The solution discusses the advantages and disadvantages of market order, limit order, and stop order.

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The advantage of a market order is you are almost always guaranteed your order will be executed (as long as there are willing buyers and sellers). Depending on your firm's commission structure, a market order may also be less expensive than a limit order.

The disadvantage is the price you pay when your order is executed may not always be the price you obtained from a real-time quote service or were quoted by ...

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Sandeep Bardia, MBA
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  • BCom, SGTB Khalsa College, University of Delhi
  • MBA, Rochester Institute of Technology
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