Stock Market Orders Explained (Market Order, Limit Order, Stop Loss, Stop Limit)

[@SmartMoneywithKai]

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[@linabuze4176]

You have this amazing way of being able to explain things in such a clear and concise way! Love it, thanks for top notch content

[@SmartMoneywithKai]

Thanks you so much Lina, this is wonderful to hear 🙏

[@paulevans1139]

Superb explanation, very useful. Your definitely the most engaging financial KZbin channel out there, thanks 👍🏻👌🏻

[@SmartMoneywithKai]

Very much appreciated dear Paul 🙌

[@SuperstudentAcademy]

Great content.. the diagrams are the best🎉

[@SmartMoneywithKai]

Aww, that's amazing to hear, thanks a lot indeed 🙌

[@giorgiomaria]

Thank you so much for such a simple and very useful video

[@SmartMoneywithKai]

Appreciate your kind words and glad to hear you found it useful 🙌

[@ZeRo8625]

4:28 "it's getting fulfilled at the price of the limit order" at least at the price of the limit order or a better price 👍

[@SmartMoneywithKai]

🙌

[@1414141x]

Thank you for a good explanation of how you can put limit and sell orders in. A coupld of questions please. If you are watching share movement out of trading hours and you see a share that you would like to buy because you think it is going to continue to rise in price but you also want to protect yourself from it dropping. Can you put both a buy order in and a stop order at the same time ? So whentrading opens you buy some shares but it suddenly reverses as traders sell off so you want it to sell before it drops further (I was hit with this exact senario where a share rose but then bombed so I lost a lot ) can you have both in place ? So you buy if shares goes up but are protected from a big loss if the shares go into reverse after you have bought.

[@SmartMoneywithKai]

Thank you for the question-this is a great scenario to address. Here’s how it works: Yes, you can place both a buy limit order and a stop-loss order, but they are handled differently and often require manual setup. Placing a Buy Order: You can set a limit buy order to purchase shares at or below a specific price when the market opens. This helps you avoid overpaying if the price suddenly spikes. Adding a Stop-Loss Order: Once your buy order is executed, you can immediately set a stop-loss order to protect yourself. This order will sell your shares automatically if the price drops to or below the level you specify. Unfortunately, most brokers don’t allow you to set a stop-loss at the same time as a buy order because the stop-loss is only active after you actually own the shares. How to Protect Yourself in Advance: If you want to cover both scenarios in one go, check if your broker supports an OCO (One Cancels the Other) order: With an OCO, you can combine a buy limit order with a stop-loss or take-profit order. Once the buy executes, the stop-loss becomes active automatically. If your broker doesn’t support OCOs, you’ll need to monitor the trade and manually set the stop-loss after your buy order is executed.

[@M-Y-G-A]

Great explanation as always mate. What is your personal risk management, like what percentage are you ok to lose so you can sell and be a bit in minus like Sell Stop Option?

[@SmartMoneywithKai]

Hi mate and thanks a lot. To be honest I never use any of those features as I invest in assets that I really believe in long-term. BTC for example is volatile so I do not want to be forced in a stop sell because of some short term news and shortly after it recovers and I loose my position. That's why I spend more time to research, but once I am convinced I want to stay invested. Also reducing my various holdings allows me to stay on top and if I really see red flags and want to exit, I do so manually 👌