152. What is a Market Order?

http://www.informedtrades.com - This video explains what a market order is, and how individuals can use it to place buy and sell orders in the world stock markets.

Category:

Education

Tags:

• market
• order
• type

[80151505]

Thank you for posting such interesting and informational videos. I am a true beginner, as in, I am just starting today. I have learned a great deal already and, I will continue to watch your videos and visit your website.

[InformedTrades]

You're very welcome we wish you luck on your learning journey and be sure to check out InformedTrades with any questions you might have along the way.

-Brendan

[ney123456789]

Sorry Dave you didn't talk about position sizing yet. (at the beging of the video you say that you already talk about that?)

[InformedTrades]

no worries I talk about position sizing in my free basics of trading course which you can find in the University section over at InformedTrades. Best Regards, Dave

[willintexas]

Dave -- great videos. I know this is not a Q & A page but I have one question. May sound silly, but I'm a novice. When a person executes a SELL order from his disciunt brokerage account, WHO pays him? Must someone buy what he's selling? What (in theory) if nobody wants to buy his stock? Does the company, in which he has the shares, pay? Must he list a sell price if he clicks "market order"? Sorry for the fundemental questions. Your videos have taught me much.

[InformedTrades]

Thanks for the comment and for watching I am glad you like the videos. When you sell a stock there has to be someone willing to buy. If there is no one willing to buy at the price you are trying to sell at, then the price in the market goes down until it is low enough to attract buyers. Similarly when you buy there has to be someone who sells. If there are no sellers then the price goes up until it is high enough to attract them. Hope that helps. Best Regards,

Dave

[buredtx]

thanks sir..actually today i am for the first time watching your video. ..I am BBS major finance student. Although i am finance student but i have very limited know related to stocks, and next much i have my final exam, I hope with your video i am going to learn a lot. As i am teacher at private boarding school hardly get time to attend campus classes. i had observe there is lot of topic in this channel that are related to my studies. I really want to thanks you for core of my heart.

Thank

[elwalvador]

The market maker (NASDAQ) or specialist (NYSE). They make the spread, they buy from a seller at the big price and sell it to you at the ask price. They absolutely love market orders. However, after hours trading only allows limit orders, that is why it is a lot more volatile.

[ready4u2trade]

You're very generous to offer such an extensive video course. I have been having difficulty getting market on open orders placed because it seems I consistently get the pre-market not the market price. Can you explain why this happens? Also, if you are pretty sure a stock is going to rise on opening, is it possible to buy it at market before the market opens on a day trading platform installed on your personal computer? Or should you wait until the market opens to buy it.

[jokerbookshop]

who are the winners and losers when slippage happens?